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Talk about sticking your bloody chin out. Yesterday I warbled on about how MAP was the only stock worth looking at in the Transport/Infrastructure space, and today it gets the Gatorade Bottle of Doom Up the Vord (GBDUV), falling nearly 10%.
it's all very well to try and justify the drop as being in line with sector peers, being driven by things which were largely sector specific (in a sector which is marked as 'Avoid' under current conditions)... no dice, chump. You stick your chin out, you cop the criticism.
A long call on MAP - MAPQV Dec 08 $2.22 strike (that's the sweet spot) - is well worth a dip, even given my bear stance on overall market direction; there's also a $2 Jan09 call (MAPISP).
I'll send an e-mail out to all subscribers tomorrow before the market opens if I decide that it's worth a shot (there's not much OI in MAPQV, but moving to a liquid option like MAPLW is asking for trouble, since its strike requires a bounce of over $1 in the stock before December 18th).
Anyhow... moving right along.
History Lesson
Have you ever noticed how every year we celebrate a monumental waste of blood, undertaken in order to save two bunches of politicians who thought it was a good idea to declare war on Germany?
After all, that's what war is: it's when two sets of political parasites force their peons to slaughter one another. Gigantic pissing contests between short-arsed megalomaniacs who think that entire populations belong to them.
So the Poms and the Frogs declared war on the Krauts in 1914 (look it up, for those of you who think that Germany started it - the Krauts declared war on bloody Serbia, not on Pom or Frog).
The Frogs promptly started to display the sort of incompetence that they have shown since Agincourt (1415) - that is, they were getting their asses kicked from pillar to post; so much so that at Verdun they sooked like girls because when the idiot Frog generals sent people to be slaughtered, the Germans obliged, to the tune of a quarter-million dead.
The Frog army was in mutiny... so the Anglo-Saxons of the world (along with a load of folks from dependencies and colonies) had to come save France. One adult male in 16 from Australia, and one in 15 form New Zealand, met an early end in the mud of France.
Less than 25 years later, the same trick was tried... Frog and Pom declared war on Kraut (look it up...), so Kraut - sensing an easy victory - attacked Frog.
This time the Anglo-Saxons were a bit slower off the mark, and as a result the Krauts ended up flying their flag over Paris - yet another national humilation for yon Frog until we, the Anglo-Saxons (and our hangers-on from the colonies), rescued their incompetent Gallic arses.
To get some idea of the Glorious French Defence, the actual Kraut invasion started on May 10th 1940; Paris fell on June 14th, and France capitulated on June 25th. (French 'hero' Cyrano de Gaulle fled to London - with a load of taxpayers' money - three days after Paris fell)
In fact, the Frogs lost their entire country quicker than backward-assed Iraq fell to the US in 2003.
Some time later, the Frogs had a crack at trying to subdue an Iron Age agrarian peasant civilisation in Indochina... and the name Dien Ben Phu goes into the history books as another glorious chapter in French military incompetence. From Agincourt to Dien Ben Phu: 550 years of the same result. Pick a fight, get the living crap kicked out of you, beg someone else to come clean up the crap in your pants. Gloire.
You getting this, Daniel?
I have no time for those who volunteered to go save some place half a world away from Australia - there was no strategic interest for Australia, and we should vilify the politicians who sent Australians to die in defence of a country with no sense of honour. We should dig those politicians up, piss on their corpses, grind the wet mess into a paste, and use the paste to daub obscene homophobic graffiti on all the monuments they erect to their own hubris.
The young Australian men who signed up were nothing more than mercenaries - they were going off to kill other people's sons, when there was no national interest for their own country.
They might have been whipped into a fever by lying politicians, but so what? Does a lack of rationality excuse what they did? Could anybody in Australia at the time, honestly have thought that the British gave a flying rat's ass about Serbia? Do you think that King George gave a flying money f#ck about how life would be for the average Serb under the Austro-Hungarian yoke? Spare me.
OK - enough history... now on to Finance.
Major Market Indices
The broad market - the All Ordinaries (XAO) - declined gently, dropping 38.2 points (0.97%), finishing at 3883.6 points. After an early swoon with the intraday low of 3857.8 set at 10:09 am Sydney time, the Ords bounced almost exactly 60 points - yet another signal of hopeful nuffies at work - to an intraday high of 3919.9 at 12:51 pm. The early low was never seriously re-tested. Hope, as a wise man once said, springs eternal.
Total volume traded on the ASX was 1.22bn units, 6.7% below its 10-day average of 1.3bn shares.The ASX's daily listing of all stocks included 1065 different 3-letter FPO's which traded (i.e., had non-zero trade volume). Of these, 276 issues rose, with volume in rising issues totalling 553.6m units; there were 549 declining stocks, which traded aggregate declining volume of 486.8m shares.
Of the 493 All Ordinaries components, 131 rose while 265 fell. Despite the down day, volume was tilted in favour of the gainers by a margin of 1.2:1, with 512.86m shares traded in gainers while 415.36m 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) - fell mildly, losing 33.6 points (0.85%), closing out the session at 3927.3 points.
| Name | Close | +/-(%) |
|---|---|---|
| All Ordinaries | 3883.60 | -38.20 (1.0%) |
| ASX 20 | 2344.70 | -22.40 (0.9%) |
| ASX 50 | 3954.90 | -33.10 (0.8%) |
| ASX 100 | 3230.50 | -26.50 (0.8%) |
| ASX 200 | 3927.30 | -33.60 (0.8%) |
| ASX 300 | 3905.50 | -34.10 (0.9%) |
| ASX Mid-Cap 50 | 3602.20 | -24.70 (0.7%) |
| ASX Small Ordinaries | 1846.40 | -27.30 (1.5%) |
The "heavy hitters" of the Australian market - the ASX 20 Leaders (XTL) - slid by a little under 1 percent, falling 22.4 points (0.95%) to close at 2344.7 points. Volume registered a total of 130.98m units; 6 index components rose, with rising volume amounting to 19.72m shares, while the 15 decliners had volume traded totalling 111.26m units. The major percentage gainers within the index were
- AMP (AMP), +$0.11 (2.08%) to $5.40 on volume of 9.5 million shares;
- CSL (CSL), +$0.73 (2.02%) to $36.95 on volume of 1.2 million shares;
- Foster's Group (FGL), +$0.11 (1.91%) to $5.86 on volume of 4.5 million shares;
- QBE Insurance Group (QBE), +$0.43 (1.6%) to $27.29 on volume of 1.2 million shares; and
- Woolworths (WOW), +$0.27 (0.94%) to $28.92 on volume of 1.9 million shares.
On the less salubrious side of the big-cap fence, the following stocks were the worst-performed within the index:
- Newcrest Mining (NCM), -$1.13 (5.11%) to $21.00 on volume of 1.3 million shares;
- Wesfarmers (WES), -$0.88 (4.37%) to $19.25 on volume of 4.5 million shares;
- Brambles (BXB), -$0.22 (2.74%) to $7.80 on volume of 4 million shares;
- Stockland (SGP), -$0.08 (1.83%) to $4.29 on volume of 7.2 million shares; and
- ANZ Banking Group (ANZ), -$0.28 (1.79%) to $15.40 on volume of 8 million shares.
At the other end of the market-cap spectrum lie the denizens of the ASX Small Ordinaries (XSO). The small end of the market had significantly worse day than its large-cap counterpart. The Small Ords registered a loss of 27.3 points (1.46%), closing out the session at 1846.4 points.
Among the stocks that make up the Small Caps index, 51 index components finished to the upside, and of the rest, 131 closed lower for the session. The index components traded a total of 216.02m shares: volume in the 51 gainers totalling 61.22m shares, with trade totalling 124.71m units in the index's 131 declining components. The major percentage gainers within the index were
- Abacus Property Group (ABP), +$0.11 (35.59%) to $0.40 on volume of 4.7 million shares;
- Tishman Speyer Office Fund (TSO), +$0.06 (15.94%) to $0.40 on volume of 614.8 thousand shares;
- Charter Hall Group (CHC), +$0.04 (9.76%) to $0.45 on volume of 663.7 thousand shares;
- Bunnings Warehouse Property Trust (BWP), +$0.15 (8.87%) to $1.78 on volume of 428.8 thousand shares; and
- St Barbara (SBM), +$0.02 (8.7%) to $0.25 on volume of 2.2 million shares.
In the red-zone of the little-stock index, the following list represents the biggest downers (in terms of percentage decline):
- Minara Resources (MRE), -$0.08 (17.39%) to $0.38 on volume of 2.2 million shares;
- Albidon (ALB), -$0.06 (15.19%) to $0.34 on volume of 558.3 thousand shares;
- NRW Holdings (NWH), -$0.05 (14.08%) to $0.31 on volume of 2.5 million shares;
- Imdex (IMD), -$0.08 (13.91%) to $0.50 on volume of 963.5 thousand shares; and
- Specialty Fashion Group (SFH), -$0.04 (12.28%) to $0.25 on volume of 536.3 thousand shares.
Index Changes
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XAO | All Ordinaries | 3883.6 | -38.2 | -0.97 | 999.1m |
| XFL | ASX 50 | 3954.9 | -33.1 | -0.83 | 379.6m |
| XJO | ASX 200 | 3927.3 | -33.6 | -0.85 | 839m |
| XKO | ASX 300 | 3905.5 | -34.1 | -0.87 | 917.2m |
| XMD | ASX Mid-Cap 50 | 3602.2 | -24.7 | -0.68 | 325.4m |
| XSO | ASX Small Ordinaries | 1846.4 | -27.3 | -1.46 | 212.1m |
| XTL | ASX 20 | 2344.7 | -22.4 | -0.95 | 123.8m |
| XTO | ASX 100 | 3230.5 | -26.5 | -0.81 | 705m |
Market Breadth
| ASX20 | XTO | XJO | XAO | XSO | Market | |
|---|---|---|---|---|---|---|
| Advances | 6 | 37 | 71 | 131 | 51 | 276 |
| Declines | 15 | 57 | 120 | 265 | 131 | 549 |
| Advancing Volume | 19.7m | 435.9m | 489m | 512.9m | 61.2m | 553.6m |
| Declining Volume | 111.3m | 254.5m | 337.1m | 415.4m | 124.7m | 486.8m |
GICS Industry Indices
Among the 11 industry indices, 3 registered an advance for the session, the remaining 8 lost ground.
The best performing index was Property Trusts (XPJ), which added 22.3 points (2.15%) to 1058.4 points. The 21 stocks which make up the index traded a total of 248.36m units; 16 index components rose, with rising volume amounting to 226.19m shares, while the 5 decliners had volume traded totalling 22.17m units. The major percentage gainers within the index were
- Abacus Property Group (ABP), +$0.11 (35.59%) to $0.40 on volume of 4.7 million shares;
- Tishman Speyer Office Fund (TSO), +$0.06 (15.94%) to $0.40 on volume of 614.8 thousand shares;
- GPT Group (GPT), +$0.14 (13.33%) to $1.19 on volume of 111.1 million shares;
- Bunnings Warehouse Property Trust (BWP), +$0.15 (8.87%) to $1.78 on volume of 428.8 thousand shares; and
- Macquarie Office Trust (MOF), +$0.03 (8.33%) to $0.39 on volume of 5.7 million shares.
Second in the index leadership stakes was Healthcare (XHJ), which gained 74.7 points (0.84%) to 8980.8 points. The 9 stocks which make up the index traded a total of 8.57m units; despite the fact that the index was up almost a percent, only 2 index components rose, and rising volume was a feeble 1.64m shares - the 5 decliners within the index had volume traded totalling 4.81m units. The gainers within the index were
- CSL (CSL), +$0.73 (2.02%) to $36.95 on volume of 1.2 million shares; and
- Healthscope (HSP), +$0.08 (1.69%) to $4.80 on volume of 406.7 thousand shares.
The bronze medal for today goes to Utilities (XUJ), which climbed 14.3 points (0.31%) to 4636.8 points. The 10 stocks which make up the index traded a total of 43.15m units; 6 index components rose, with rising volume amounting to 37.53m shares, while the 4 decliners had volume traded totalling 5.62m units. The major percentage gainers within the index were
- Babcock & Brown Infrastructure Group (BBI), +$0.01 (13.64%) to $0.08 on volume of 31.5 million shares;
- Babcock & Brown Power (BBP), +$0.00 (6.25%) to $0.07 on volume of 3 million shares;
- Spark Infrastructure Group (SKI), +$0.04 (2.6%) to $1.58 on volume of 600.7 thousand shares;
- Duet Group (DUE), +$0.03 (1.25%) to $2.43 on volume of 962.5 thousand shares; and
- AGL Energy (AGK), +$0.14 (0.92%) to $15.44 on volume of 923.1 thousand shares.
The worst-performed index for the session was Information Technology (XIJ), which dipped 18.9 points (4.6%) to 392.1 points. There are only two stocks in this index, and both fell. Volume traded was 4.34m units, and the index components moved as follows:
- Computershare (CPU), -$0.33 (4.6%) to $6.85 on volume of 4.2 million shares; and
- Iress Market Technology (IRE), -$0.23 (4.55%) to $4.82 on volume of 99.7 thousand shares.
Just missing out on the wooden spoon was Industrials (XNJ), which slid 111.1 points (3.08%) to 3500.2 points. The 32 stocks which make up the index traded a total of 203.82m units; The 23 decliners had volume traded totalling 72.76m units, and 4 index components rose, with rising volume amounting to 128.29m shares, The major percentage decliners within the index were
- Boart Longyear (BLY), -$0.07 (17.11%) to $0.32 on volume of 12.3 million shares;
- NRW Holdings (NWH), -$0.05 (14.08%) to $0.31 on volume of 2.5 million shares;
- CSR (CSR), -$0.23 (10.85%) to $1.89 on volume of 6.1 million shares;
- Macmahon Holdings (MAH), -$0.06 (9.82%) to $0.51 on volume of 3 million shares; and
- Macquarie Airports (MAP), -$0.21 (9.55%) to $1.99 on volume of 5.7 million shares, the bloody day after I give it a rap. Bugger.
Third-to-last amongst the sector indices was Materials (XMJ), which slid 188.3 points (2.09%) to 8822.9 points. The 45 stocks which make up the index traded a total of 113.35m units; The 32 decliners had volume traded totalling 77.37m units, and 10 index components rose, with rising volume amounting to 25.34m shares, The major percentage decliners within the index were
- Minara Resources (MRE), -$0.08 (17.39%) to $0.38 on volume of 2.2 million shares;
- Alumina (AWC), -$0.27 (13.45%) to $1.71 on volume of 8.2 million shares;
- Straits Resources (SRL), -$0.17 (11.83%) to $1.23 on volume of 1.1 million shares;
- Fortescue Metals Group Ltd (FMG), -$0.25 (10.96%) to $2.03 on volume of 10.9 million shares; and
- Perilya Limited (PEM), -$0.02 (10.81%) to $0.17 on volume of 1.9 million shares.
Sector Indices
| Code | GICS Sector | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| XPJ | Property Trusts | 1058.4 | 22.3 | 2.15 | 248m |
| XHJ | Healthcare | 8980.8 | 74.7 | 0.84 | 9m |
| XUJ | Utilities | 4636.8 | 14.3 | 0.31 | 43m |
| XEJ | Energy | 13145.4 | -23.4 | -0.18 | 52m |
| XSJ | Consumer Staples | 6644.6 | -12.6 | -0.19 | 24m |
| XXJ | Financials ex Property Trusts | 4183.8 | -24.7 | -0.59 | 92m |
| XDJ | Consumer Discretionary | 1235.5 | -14.3 | -1.14 | 29m |
| XTJ | Telecommunications | 1415.3 | -20 | -1.39 | 43m |
| XMJ | Materials | 8822.9 | -188.3 | -2.09 | 113m |
| XNJ | Industrials | 3500.2 | -111.1 | -3.08 | 204m |
| XIJ | Information Technology | 392.1 | -18.9 | -4.6 | 4m |
All Ordinaries Major Movers
All Ords Volume Leaders
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| AIO | Asciano Group | 1.15 | 0.46 | 66.67 | 127.2m |
| GPT | GPT Group | 1.19 | 0.14 | 13.33 | 111.1m |
| TLS | Telstra Corporation. | 4.21 | -0.07 | -1.64 | 39.9m |
| GMG | Goodman Group | 1.24 | 0.06 | 5.08 | 36.6m |
| BBI | Babcock & Brown Infrastructure Group | 0.08 | 0.01 | 13.64 | 31.5m |
All Ords Percentage Gainers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| AIO | Asciano Group | 1.15 | 0.46 | 66.67 | 127.2m |
| ABP | Abacus Property Group | 0.40 | 0.11 | 35.59 | 4.7m |
| IRN | Indophil Resources NL | 0.79 | 0.12 | 17.04 | 2.4m |
| TSO | Tishman Speyer Office Fund | 0.40 | 0.06 | 15.94 | 614.8k |
| BBI | Babcock & Brown Infrastructure Group | 0.08 | 0.01 | 13.64 | 31.5m |
All Ords Percentage Losers
| Code | Name | Close | +/- | % | Volume |
|---|---|---|---|---|---|
| ABS | ABC Learning Centres | 0.00 | 0.00 | 38k | |
| SXE | Southern Cross Electrical Engineering Ltd | 0.60 | -0.15 | -20 | 102.7k |
| MRE | Minara Resources | 0.38 | -0.08 | -17.39 | 2.2m |
| BLY | Boart Longyear | 0.32 | -0.07 | -17.11 | 12.3m |
| NFK | Norfolk Group | 0.35 | -0.07 | -16.67 | 384.1k |
