Shane Oliver
Shane Oliver
global growth insulated looking mining portraying rely resources returns stocks tragic woes
Returns aren't going to be as tragic as some are portraying because the mining stocks are still looking fine. The resources stocks rely more on global growth so, to a degree, they're insulated from many of the woes afflicting our own economy.
globally hostage largely market
Our market will be largely hostage to what's going on globally this week.
argued australian collapse commodity dollar europe fall few global growth impending prices seems strong stronger telling thanks time
Some have argued the fall in the Australian dollar at a time when commodity prices are still strong is telling us global growth is about to collapse. However, there are few indicators of any impending collapse in global growth or commodity prices. In fact, global growth seems to be strengthening thanks to stronger growth in Europe and Japan.
assessment australian continue earnings global higher mainstream remains shares slightly stronger thanks yields
Our assessment remains that Australian shares will continue to outperform mainstream global shares thanks to a combination of higher dividend yields and slightly stronger earnings growth.
assessment australian continue course earnings global growth higher mainstream next resources shares slightly stronger thanks
Our assessment is that Australian shares will continue to outperform mainstream global shares over the next year, thanks to a combination of higher dividend yields, slightly stronger earnings growth (helped of course by the resources sector) and franking credits.
appear correction entered fairly global markets period share start strong
Global share markets appear to have entered a period of correction after most markets had a fairly strong start to the year.
australian fact global indicate offer return shares similar trading
The fact that Australian shares are now trading on a similar pe to global shares does not indicate that they are overvalued or that global shares now offer better return prospects.
bit correction financial globally interest markets possible pressure putting quite rates share
Interest rates globally are putting some pressure on financial stocks. It's quite possible we go through a bit of a correction in share markets around the world.
bank both commodity concerned economy given global head higher knock pressure retail strength
The bank is concerned about inflationary pressure in the economy given the strength in the global economy and higher commodity prices. It will be a knock on the head for both retail and housing.
bit dramatic exports improved looking past
Exports probably would have improved a little bit but not much, so it's really just a continuation of the past - we're not looking for a dramatic change.
attractive based bond compared current earnings fair level remains value yields
Based on the current level of bond yields and earnings fair value around 5 600 points, the dividend yield remains attractive compared to alternative investments.
data economic generally numbers rates recent reserve rise run soft support
Recent economic data has been on the soft side. There is nothing in the recent run of generally soft numbers that would support another rise in rates by the Reserve Bank.
areas consumer exports fill help hole investment left luckily mining plug slowing
We need other areas to fill the hole left by slowing consumer spending. Luckily mining investment and exports are increasing, which will help plug the gap.
approach past six
It is a significant psychological milestone, the approach of which has triggered some profit-taking over the past six weeks.