Jan 30, 2013

The market is up 10. 55 stocks in the All Ords hit 52 week highs yesterday including all the major banks, Telstra, WES, WOW and MYR. The market is up 22.7% from the low on June 4. The recent strength is seen as a reflection of the weight of money finally coming out of bonds and into equities with the comment that it is not being matched by a rise in earnings which means equities are simply becoming more expensive. SFE Futures were down 2 this morning. The Dow was up 88 at best and down 2 at worst. 67% of the 175 S&P 500 companies that have released quarterly results have beaten consensus forecasts. The S&P500 is on track for its best monthly gain since October 2011 and its best January since 1997. US S&P/Case & Shiller 20 City home prices were up 5.52% ahead of forecasts of 5.2%. On the flip side the US Conference Board consumer confidence reading dropped to a 14-month low with Fiscal Cliff negotiations and tax increases have been blamed for the drop. Best sectors -- Energy, Telecoms, Health Care. Worst sectors -- Consumer Discretionary, Technology. European markets mixed -- UK FTSE up 0.71%, German DAX up 0.20%, France up 0.13%, Spain down 0.34%, Italy down 0.03%.

Royal Bank of Scotland down 5.98% after a report showed that the lender was nearing a $785 million settlement with US and UK authorities over claims of submitting false Libor rates.

Free Trial

Proudly annoying those in power since 2000.

Sign up for a FREE 21-day trial to keep reading and get the best of Crikey straight to your inbox

By starting a free trial, you agree to accept Crikey’s terms and conditions


Leave a comment

Share this article with a friend

Just fill out the fields below and we'll send your friend a link to this article along with a message from you.

Your details

Your friend's details