Global markets surge on stimulus rumours as Wesfarmers CEO blames Amazon for "eating its breakfast, lunch and dinner"
An early start as we head into sky news to talk about markets and provide an overview of the reporting season.
For those interested, watch at 8:15am AEST.
US stocks surged last night (Dow Jones + 300 points), after manufacturing in the world’s largest economy showed signs of stabilizing, while optimism that central banks from Asia to Europe will add to stimulus boosted emerging-market currencies and commodities.
It appears that global central banks are on the verge of announcing huge stimuli… so why can’t our friends at the RBA follow suit?
Yesterday, the Reserve Bank left our interest rates on hold at 2.00%...
It is now time to act Gov Stevens…….
Everyone else has worked out that global growth is low and inflation is a “non-event”….
Please stop sitting on the fence and cut interest rates…
We want to see the XJO back at 6,000 and beyond.
In Oz yesterday our markets closed up higher (+40 points), as commodity and energy stocks led the rally…
TLS went “ex” dividend, but fell nearly 5%, as concerns grow on the rollout of their NBN and underlying costs…
It was Slater and Gordon (-80% in the past few days), that is also under significant pressure to restructure its debt.
Now, Richard Goyder, CEO of Wesfarmers is blaming growing competition from Amazon on their weak FY results stating that “Amazon will eat our breakfast, lunch and dinner”…
Richard, please stop blaming others, we all knew that consumers were moving online well over ten years ago… you were simply too slow to react.
We should have a great day today…
The SPI is up 87 points this morning
Niv Dagan is an Executive Director of Melbourne based boutique funds management and corporate advisory firm, Peak Asset Management (www.peakassetmanagement.com.au). He is also a regular financial commentator on Sky Business.