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Well now - not quite 48 hours after the major apparatchiks of the Supreme American Soviet did their Glorious Historic Rescue of Mankind, and what? The market didn't buy it for more than a single session? (And even then, the 100-point Dow pump in the final hour was so obviously fake that it cries out to the Heavens).
Ahhh, dear reader... if you think for a second that the point of Paulson's crony-aid was to change the global financial landscape, you're sadly mistaken. The point was to enable those who accumulated positions in leveraged instruments based on FNM and FRE debt, to exit with stonking profits. Paulson has always been, and will always be, the lapdog of his paymasters. A secondary aim was to show that the US Constitution is a dead letter - like Magna Carta: simply put, if the US Treasury can nationalise an industry without Congressional approval or oversight, then the idea that the Executive branch is subject to any constraint whatsoever is redundant.
And to think - we spent trrillions of dollars trying to prevent the scialisation of the means of production, and here now we have a Wall Streeter nationalising the ownership of the financing of housing... if Lenin or Trotsky were alive they would be laughing harder than Putin.
The funniest thing about the whole debacle is that nobody has gutted any of the players who claimed a month ago that FNM and FRE were adequately capitalised. And now the journalistic 'profession' - those gutless stenographers to power - dutifully get on their knees and take dictation from the same clowns. I am wondering whether there were journalists before there were whores - after all, as far as politicians are concerned, journalists do it for free.
No matter - the people responsible will spend the rest of their days managing the tens of millions of dollars they received in 'executive compensation'. And if they ever feel like being rehabilitated and taking on a high profile public position (at taxpayer expense, of course) they just need to hire Hill & Knowlton or Rendon and all their past sins will be forgotten.
That's why McCain is no longer associated with the Keating Five, why John Poindexter is back at DARPA, and why George W Bush is not simply another failed Texas wildcatter.
The 'Why?' question always poses itself... why would someone who spent a career in the snake pit of Wall Streeet, want to have as his swansong the oversight of the US Treasury? (The answer includes the requirement to pay dues to those who oversaw his former career - as with being a hired killer, your tenure doesn't ever end).
Speaking of hired killers and other sociopathic types, I was glad to see that Prick Cheney appears on the way out: the red limned eyes, the sudden collapse of his once-puffy jowls - perhaps the babies he has been eating have been from underprivileged neighbourhoods. Whatever the cause, he is clearly dying - he no longer looks like a powdered soft-cheeked draft-dodger... he looks like a dying old man. I hope whatever is killing him, is doing so very very painfully: but that would require a belief in Karma.
Major Market Indices
The broad market - the All Ordinaries (XAO) - dipped reasonably hard, registering a loss of 84.4 points (1.65%), finishing at 5041.9 points. The index hit an intraday high of 5126.3 at 10:00 am, while the low for the day was 5029.1 - set at 2:55 pm Sydney time.
Total volume traded on the ASX was 1.19bn units, 1.5% below its 10-day average. The ASX's daily listing of all stocks included 1288 different 3-letter FPO's which traded (i.e., had non-zero trade volume). Of these, 381 issues rose, with volume in rising issues totalling 383.3m units; decliners numbered 601 counters, and between them they traded aggregate declining volume of 664.9m shares.
Of the 491 All Ordinaries components, 141 rose while 270 fell. Volume was tilted in favour of the losers by a margin of 1.9:1, with 282.48m shares traded in gainers while 550.79m shares traded in the day's losers.
The Index that forms the cash basis for the SFE's Share Price Index Futures - the S&P/ASX 200 (XJO) - registered a loss of 87.4 points (1.72%), closing out the session at 4980.1 points.
| Name | Close | +/-(%) |
|---|---|---|
| All Ordinaries | 5041.90 | -84.40 (1.6%) |
| ASX 20 | 2824.80 | -53.80 (1.9%) |
| ASX 50 | 4876.50 | -89.80 (1.8%) |
| ASX 100 | 4038.60 | -73.00 (1.8%) |
| ASX 200 | 4980.10 | -87.40 (1.7%) |
| ASX 300 | 4974.20 | -86.50 (1.7%) |
| ASX Mid-Cap 50 | 4958.80 | -79.30 (1.6%) |
| ASX Small Ordinaries | 2826.20 | -31.50 (1.1%) |
The "heavy hitters" of the Australian market - the ASX 20 Leaders (XTL) - registered a loss of 53.8 points (1.87%), closing out the session at 2824.8 points.
Among the 20 big guns, 4 index components finished to the upside, and of the rest, 16 closed lower for the session. The 20 stocks which make up the index traded a total of 168.46m units; 4 index components rose, with rising volume amounting to 82.92m shares, while the 16 decliners had volume traded totalling 85.54m units. The major percentage gainers within the index were
- Foster's Group (FGL), +$0.10 (1.79%) to $5.69 on volume of 13.4 million shares;
- National Australia Bank (NAB), +$0.39 (1.55%) to $25.49 on volume of 16.1 million shares;
- Brambles (BXB), +$0.09 (1.1%) to $8.28 on volume of 2.7 million shares; and
- Telstra Corporation (TLS), +$0.02 (0.47%) to $4.29 on volume of 50.7 million shares.
On the less salubrious side of the big-cap fence, the following stocks were the worst-performed within the index:
- Macquarie Group (MQG), -$3.51 (7.27%) to $44.80 on volume of 3.9 million shares;
- BHP Billiton (BHP), -$1.55 (4.12%) to $36.05 on volume of 13.8 million shares;
- Suncorp-Metway (SUN), -$0.45 (4.05%) to $10.67 on volume of 5.2 million shares;
- Woodside Petroleum (WPL), -$1.74 (2.99%) to $56.47 on volume of 2.2 million shares; and
- Westfield Group (WDC), -$0.49 (2.67%) to $17.84 on volume of 6.8 million shares.
At the other end of the market-cap spectrum lie the denizens of the ASX Small Ordinaries (XSO) - the place where non-mania excess returns lie. The small end of the market , while still dropping overall, did significantly better than its large-cap counterpart. The Small Ords registered a loss of 31.5 points (1.1%), closing out the session at 2826.2 points.
Among the stocks that make up the Small Caps index, 54 index components finished to the upside, and of the rest, 120 closed lower for the session.
The 194 stocks which make up the index traded a total of 236.98m units: volume in the 54 gainers totalling 82.35m shares, with trade totalling 139.05m units in the index's 120 declining components. The major percentage gainers within the index were- Nexus Energy (NXS), +$0.15 (11.6%) to $1.40 on volume of 4.8 million shares;
- Independence Group NL (IGO), +$0.24 (8.54%) to $3.05 on volume of 1.3 million shares;
- Bannerman Resources (BMN), +$0.06 (7.14%) to $0.83 on volume of 1.3 million shares;
- Becton Property Group (BEC), +$0.05 (6.67%) to $0.80 on volume of 527.2 thousand shares; and
- ABB Grain (ABB), +$0.50 (5.95%) to $8.91 on volume of 425 thousand shares.
In the red-zone of the little-stock index, the following list represents the biggest downers (in terms of percentage decline):
- Centro Retail (CER), -$0.04 (16.33%) to $0.21 on volume of 11.3 million shares;
- Albidon (ALB), -$0.2 (13.33%) to $1.30 on volume of 462.1 thousand shares;
- Kagara Zinc (KZL), -$0.35 (11.78%) to $2.62 on volume of 1.6 million shares;
- Allco Finance Group (AFG), -$0.03 (10.2%) to $0.22 on volume of 1.8 million shares; and
- Centro Properties Group (CNP), -$0.02 (10%) to $0.14 on volume of 11.5 million shares.
Index Changes
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XAO | All Ordinaries | 5041.9 | -84.4 | -1.65 | 875.6m |
| XFL | ASX 50 | 4876.5 | -89.8 | -1.81 | 371.7m |
| XJO | ASX 200 | 4980.1 | -87.4 | -1.72 | 760.7m |
| XKO | ASX 300 | 4974.2 | -86.5 | -1.71 | 826.1m |
| XMD | ASX Mid-Cap 50 | 4958.8 | -79.3 | -1.57 | 217.4m |
| XSO | ASX Small Ordinaries | 2826.2 | -31.5 | -1.1 | 237m |
| XTL | ASX 20 | 2824.8 | -53.8 | -1.87 | 168.5m |
| XTO | ASX 100 | 4038.6 | -73 | -1.78 | 589.1m |
Market Breadth
| ASX20 | XTO | XJO | XAO | XSO | Market | |
|---|---|---|---|---|---|---|
| Advances | 4 | 23 | 49 | 141 | 54 | 381 |
| Declines | 16 | 75 | 141 | 270 | 120 | 601 |
| Advancing Volume | 82.9m | 188.4m | 247.7m | 282.5m | 82.4m | 383.3m |
| Declining Volume | 85.5m | 389.6m | 488.6m | 550.8m | 139.1m | 664.9m |
GICS Industry Indices
Among the 11 industry indices, 2 registered an advance for the session, the remaining 9 lost ground.
The best performing index was Telecommunications (XTJ), which added 4.8 points (0.33%) to 1468.2 points. The 3 stocks which make up the index traded a total of 68.15m units; 2 index components rose, with rising volume amounting to 53.65m shares, while sole declining stock traded 14.5m units. The major percentage gainers within the index were
- Singapore Telecommunications (SGT), +$0.03 (1.01%) to $2.99 on volume of 2.9 million shares; and
- Telstra Corporation (TLS), +$0.02 (0.47%) to $4.29 on volume of 50.7 million shares.
Second in the index leadership stakes was Consumer Discretionary (XDJ), which gained 2.3 points (0.13%) to 1752.3 points. The 24 stocks which make up the index traded a total of 42.29m units; 10 index components rose, with rising volume amounting to 16.16m shares, while the 11 decliners had volume traded totalling 14.48m units. The major percentage gainers within the index were
- News Corporation Inc (Voting CDI) (NWS), +$0.67 (3.91%) to $17.81 on volume of 2.2 million shares;
- Harvey Norman Holdings (HVN), +$0.07 (1.97%) to $3.62 on volume of 5.3 million shares;
- Pacific Brands (PBG), +$0.04 (1.83%) to $2.22 on volume of 2.6 million shares;
- Consolidated Media Holdings (CMJ), +$0.05 (1.54%) to $3.30 on volume of 1.4 million shares; and
- Ten Network Holdings (TEN), +$0.02 (0.93%) to $1.63 on volume of 912.7 thousand shares.
The worst-performed index for the session was Materials (XMJ), which dipped 454.8 points (3.58%) to 12241.3 points. The 42 stocks which make up the index traded a total of 174.42m units; The 35 decliners had volume traded totalling 142.94m units, and 5 index components rose, with rising volume amounting to 27.72m shares, The major percentage decliners within the index were
- Kagara Zinc (KZL), -$0.35 (11.78%) to $2.62 on volume of 1.6 million shares;
- Fortescue Metals Group Ltd (FMG), -$0.6 (8.45%) to $6.50 on volume of 9.2 million shares;
- Straits Resources (SRL), -$0.3 (6.25%) to $4.50 on volume of 1.5 million shares;
- OZ Minerals (OZL), -$0.09 (5.96%) to $1.42 on volume of 39.7 million shares; and
- Panoramic Resources (PAN), -$0.1 (5.65%) to $1.59 on volume of 1.7 million shares.
Just missing out on the wooden spoon was Energy (XEJ), which slid 397.4 points (2.22%) to 17510.4 points. The 17 stocks which make up the index traded a total of 58.95m units; The 13 decliners had volume traded totalling 39.5m units, and 3 index components rose, with rising volume amounting to 12.9m shares, The major percentage decliners within the index were
- Paladin Energy (PDN), -$0.36 (6.61%) to $5.09 on volume of 3.7 million shares;
- Energy Resources Of Australia (ERA), -$1.22 (6.31%) to $18.10 on volume of 874 thousand shares;
- Australian Worldwide Exploration (AWE), -$0.16 (5.03%) to $3.02 on volume of 1.3 million shares;
- Caltex Australia (CTX), -$0.54 (4.5%) to $11.46 on volume of 956.1 thousand shares; and
- Oil Search (OSH), -$0.17 (3.01%) to $5.47 on volume of 3.3 million shares.
Third-to-last amongst the sector indices was Property Trusts (XPJ), which slid 33.1 points (2.15%) to 1508.7 points. The 21 stocks which make up the index traded a total of 161.79m units; The 17 decliners had volume traded totalling 114.27m units, and 3 index components rose, with rising volume amounting to 46.84m shares, The major percentage decliners within the index were
- Centro Retail (CER), -$0.04 (16.33%) to $0.21 on volume of 11.3 million shares;
- Centro Properties Group (CNP), -$0.02 (10%) to $0.14 on volume of 11.5 million shares;
- Valad Property Group (VPG), -$0.03 (5.21%) to $0.46 on volume of 9.9 million shares;
- Mirvac Group (MGR), -$0.16 (5.16%) to $2.94 on volume of 6 million shares; and
- Macquarie Office Trust (MOF), -$0.05 (4.13%) to $1.05 on volume of 22.3 million shares.
Sector Indices
| Code | GICS Sector | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XTJ | Telecommunications | 1468.2 | 4.8 | 0.33 | 68m |
| XDJ | Consumer Discretionary | 1752.3 | 2.3 | 0.13 | 42m |
| XSJ | Consumer Staples | 7364.7 | -15.2 | -0.21 | 35m |
| XNJ | Industrials | 4913.5 | -20 | -0.41 | 96m |
| XHJ | Healthcare | 9550.3 | -43.9 | -0.46 | 11m |
| XUJ | Utilities | 5045.7 | -64.2 | -1.26 | 30m |
| XIJ | Information Technology | 518.2 | -6.7 | -1.28 | 1m |
| XXJ | Financials ex Property Trusts | 5106.2 | -75.2 | -1.45 | 92m |
| XPJ | Property Trusts | 1508.7 | -33.1 | -2.15 | 162m |
| XEJ | Energy | 17510.4 | -397.4 | -2.22 | 59m |
| XMJ | Materials | 12241.3 | -454.8 | -3.58 | 174m |
All Ordinaries Major Movers
All Ords Volume Leaders
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| TLS | Telstra Corporation Limited. | 4.29 | 0.02 | 0.47 | 50.7m |
| OZL | OZ Minerals Limited | 1.42 | -0.09 | -5.96 | 39.7m |
| GPT | GPT Group | 1.94 | 0.04 | 1.84 | 24.8m |
| MOF | Macquarie Office Trust | 1.05 | -0.05 | -4.13 | 22.3m |
| CEU | Connecteast Group | 0.92 | 0.08 | 9.58 | 20.6m |
All Ords Percentage Gainers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| ARR | Arasor International Limited | 0.08 | 0.02 | 25 | 116.7k |
| CUS | Customers Limited | 0.13 | 0.02 | 19.05 | 2.8m |
| NXS | Nexus Energy Limited | 1.40 | 0.15 | 11.6 | 4.8m |
| CEU | Connecteast Group | 0.92 | 0.08 | 9.58 | 20.6m |
| IGO | Independence Group NL | 3.05 | 0.24 | 8.54 | 1.3m |
All Ords Percentage Losers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| CEG | CEC Group Limited | 0.15 | -0.04 | -18.92 | 97.3k |
| CER | Centro Retail | 0.21 | -0.04 | -16.33 | 11.3m |
| SAV | Savcor Group Limited | 0.55 | -0.09 | -14.06 | 1.7m |
| ALB | Albidon Limited | 1.30 | -0.20 | -13.33 | 462.1k |
| KZL | Kagara Zinc Limited | 2.62 | -0.35 | -11.78 | 1.6m |
