Food is a staple item.
Do the chinese really want to "take chances" with local brands. In a downturn their food companies will be under pressure to cut corners on safety.
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Food is a staple item.
Do the chinese really want to "take chances" with local brands. In a downturn their food companies will be under pressure to cut corners on safety.
Dow and S&P , Russell are volatile right now.
Fed balance sheet is 9 Trillion? no play book for this according to the EXPERTS. NZ Govt has hired thousands to boast GDP over 15000? estimated by Tax Payer Union research...
This is probably what's keeping this sector performing up against inflationary pressures.
The market forces pushing these prices up against inflation are greater in number than what is traditional this time.
This time it's different with such a HUGE chunk of GDP brought forward as treasury has estimated GDP growth going forward n years at over 2.5 percent when you would expect a slow down.
This time its Going to be Different for this sector and its a HOLD and a Range trade.
When and if Simons take's a wrecking ball to the government sector ARG will by then be a Hold where GMT with more exposure to industrial will continue to have a High PE.
Ok... if you had been listening in on many of the dozens of interviews on CNBC AISA. USA, Europe over the last 3 days many of these issues were discussed in detail by the worlds investment house reps and commentators.
I think MR B will tell us all those interviews provide some useful insights into how the pros are thinking.
One of the best interviews a week ago was the Jim O Neill on china. Who doesnt the man who coined the Bric's.
Reserve bank run offs was last nights theme and the fact that this next 12 months was a New Ball Game for Reserve Banks as the decide if they try to sell down their over loaded balance sheets.
ARG and GMT maybe benefitting from the HUGE NZ GOVT bond buying of the NZRB...
There is a release from Treasury about this impact on the economy as a forecast for the next 24 months already out.
Thats the document we need to read in detail.... pretty boring Xmas reading...
Two reports today saying breakout/movement into REITs as defensive play in US/AUS. I would say this is why we have seen rise recently in NZ REITS
Real Estate – Defensive Shift
Investors continue to pivot over to more defensive and durable sectors. REITs are benefiting from higher housing values and higher rental rates on both commercial and residential buildings. This move has less the look of a strategic move as it does a pure move over to safety and defense. 3-4% forward-looking yields will also attract interest.
US 10 Year moves up and the NZ prop trusts just ignore gravity at day end....
GMT bounced up to 2.71!
local market just ignoring the gravity of interest rate rises... is NZ approaching bubbles in commercial property ..
Relatively lower debt levels and the potential inflation hedge may be counteracting increase outlook in interest rates?
KIP is starting to return to its normal pattern... long periods of nothing following by ... the occasional upward trend... SL Park must have killed it for trade before xmas and now with people trickling back into auckland SLP will be busy again? ANYONE taken a look inside?
The camp grounds in the central WAKATOO have emptied from being packed to over flowing with the biggest numbers ever at some lakes.
One camper who returns to the same park for over 20 years at XMAS says they have never seen so many in the camp ground.
Collectively the listed property trusts share prices are still about 20% overvalued if the long term strong correlation with 10 year govt stock means anything
Then again some of them are priced quite a way below NTA ……it might be that the valuers are being too bullish with their valuations