Australian Stock Market Report – Woolworths, BHP, Bapcor shares & more
Market Commentary and Stock Tips - 6 July 2018
That was the financial year that was – The Good the Bad and the Ugly
But so far this calendar year our market leads the pack (compared with major overseas bourses) – Woolworths back on track with a fuel injection – auto parts reseller Bapcor --- has it become a tyre kicker? - Low and behold is that someone else using Frank Costa’s name? – Reserve Bank remains in the slumber zone.
Trump Tweets - Tariff Tantrums - and Royal Commission Revelations
Despite the above traumatic trifecta, it is doubly surprising that the share market and the economy have managed to perform as well as they have.
And so it was a real eye opener to see that so far this year our market has outperformed all other major share market indexes. More precisely in the first six months of this year our market was up 2.4%, whilst the New York Dow Jones was down 2.2%, France down 0.18% UK down 4.9% and Germany worst of all down 4.6%. But there is more---as Tim Shaw used say…because,
Over the financial year as a whole our market is up 8% and if you add in dividends it’s up 12.8%! --again the best in the world except for the Dow, which was a short half head in front over the same time.
Now it’s the Good the Bad and the Ugly---for the year 2017/18
Now if it is not mixing colours, the gold medals in the blue chip arena go to CSL up 42%, BHP up 41% Macquarie Group up 35% and RIO up 26%. And in the mid cap arena it was raining gold. A2Milk up 177%, Wisetech up 134%, Santos up 106%, Bellamy’s up 91%, Xero (not in keeping with its name) up 82%, Reliance World Wide (plumbing business) up 71% and Flight Centre at cruising altitude up 60%
Now to the wooden Spooners - No prizes for getting these little babies right –Telstra down 30%, AMP down 30% Ramsay Healthcare down 27% and Magellan Financial Group down 23%.
Woolworths gets a high octane fuel injection
Woolworths has tied the knot with Caltex in a 15 year arrangement (well it’s not quite tying the knot – more like a trial marriage) to amalgamate Caltex petrol stations with Woolworth’s petrol/convenience stores. Woolworths also advised that they will continue to pursue a float on the market (an IPO as it’s called in the trade) or a sale of its Petrol business. The market applauded this arrangement, and Woolworths continues on its strong upward trajectory.
For the full version and Stock Tips please call Michael on 03 8633 9925.
- Tuesday: NAB Business confidence and home loans;
- Wednesday: Westpac Consumer Confidence;
In the U.S.A:
Usual range of data: - Consumer and producer prices, Average weekly earnings and University of Michigan confidence Index.
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