For the retail investor, a stock that costs $1 seems easier than a big-cap stock that costs $30, $40 or $80, so people are pushing into small caps.

You need to put effort into determining the return, which is largely linked to the risk of the borrower.

Our assessment is that Australian shares will continue to outperform mainstream global shares over the next year, thanks to a combination of higher dividend yields, slightly stronger earnings growth (helped of course by the resources...

Developments in New Zealand are of little relevance to Australia, so won’t have a lasting impact.

Returns aren’t going to be as tragic as some are portraying because the mining stocks are still looking fine. The resources stocks rely more on global growth so, to a degree, they’re insulated from many...

It shows you can’t rely on another big jump in coal and iron ore prices to bail out the trade deficit.

Some have argued the fall in the Australian dollar at a time when commodity prices are still strong is telling us global growth is about to collapse. However, there are few indicators of any impending...

Consensus expectations are for profit growth of 13.4 per cent for the year to the December quarter.

A correction or period of consolidation is due and this now appears to be happening.

Asian stocks have completely turned themselves around the past decade, and they’re going higher.

Cheap products from China and a very competitive pricing environment is helping keep underlying inflation in check. Interest rates are on hold for the time being.

Recent economic data has been on the soft side. There is nothing in the recent run of generally soft numbers that would support another rise in rates by the Reserve Bank.

Long-term economic growth is not sustainable if it’s coming mostly from remittances. To maintain a strong living standard, the Philippines needs to encourage investment and that will build productive capacity and sustain consumption over the...

The general picture is for a substantial performance in Asian shares as consumer spending in Japan and China, in particular, fuels profit growth.

Slowing housing, weak consumer spending and benign underlying inflation give the bank plenty of reasons to leave interest rates right where they are. Fuel prices are up, but thanks to an extremely competitive retail environment...

So on this basis, and thanks to very strong earnings growth, the Australian share market is still cheap.

Our assessment is that house prices may have a bounce but this is unlikely to mark the start of a sustained recovery.

The market is due for a pause.

The housing market remains in the doldrums. With the housing market still slowing and households under pressure from high petrol prices, interest rates will remain on hold.

The fact that Australian shares are now trading on a similar pe to global shares does not indicate that they are overvalued or that global shares now offer better return prospects.

This is exactly what the Reserve Bank wants because increased investment reduces inflationary pressure and will help build capacity.

Interest rates globally are putting some pressure on financial stocks. It’s quite possible we go through a bit of a correction in share markets around the world.

The China growth story, which has been driving commodity prices, remains as strong as ever,

Our assessment remains that Australian shares will continue to outperform mainstream global shares thanks to a combination of higher dividend yields and slightly stronger earnings growth.

Exports probably would have improved a little bit but not much, so it’s really just a continuation of the past – we’re not looking for a dramatic change.

Our market will be largely hostage to what’s going on globally this week.

We need other areas to fill the hole left by slowing consumer spending. Luckily mining investment and exports are increasing, which will help plug the gap.

An upside risk for Australian shares though is that a bubble forms on the back of enthusiasm for China and resources stocks.

It is a significant psychological milestone, the approach of which has triggered some profit-taking over the past six weeks.

Global share markets appear to have entered a period of correction after most markets had a fairly strong start to the year.

It’s consistent with an economy that’s starting to pull back up in Korea, with a bit of consumer demand starting to come through again. I would expect the unemployment rate will start to decline and...

I don’t think we will fall as much as Wall Street. Our market will lose 50 points or 1 per cent.

The homes sales data is more important, because if the market continues to slow, that will ultimately take pressure off the U.S. Fed Reserve.

The bank is concerned about inflationary pressure in the economy given the strength in the global economy and higher commodity prices. It will be a knock on the head for both retail and housing.

The situation is far healthier. The risk of another Asian crisis is very low.

In corporate debt, you have the credit risk of borrower defaulting ‘¦ and that’s why people rely on the rating agencies to provide a guide on the default risk, and the other risk is that...

Based on the current level of bond yields and earnings fair value around 5 600 points, the dividend yield remains attractive compared to alternative investments.

Today’s decision will slow the recovery we’ve been seeing in retail sales and housing. It will be a knock on the head for both.

Rising fuel prices will keep a lid on consumer spending for some time, slowing economic growth. The central bank will keep interest rates on hold.

The Chinese economy continues to motor along at a pretty solid pace. There has been a bit of a rebalancing of the economy over the past few years away from fixed-asset investment toward the consumer.

U.S. interest rates are pretty close to the top. By year- end it is quite likely the Fed will be shifting toward easing monetary policy and investors will be starting to wonder about a renewed...