Australian Investment Blog

• In contrast to yesterday’s report, the ASX 200 managed to finish in positive territory today, but it felt like it was a hard slog to get there. The ASX 200 closed up 23 points to 5,122.
• China's industrial output matched the weakest gain since the global credit crisis last month, while retail sales accelerated, underscoring a gradual shift in the economy towards greater reliance on consumer spending as old growth engines falter.
• The bad news: China began the fourth quarter with little change in momentum from the end of the previous one, signalling that monetary and fiscal easing have yet to spur an acceleration in growth. Goldman Sachs analysts are among those that predict the central bank will take further actions as a result. Industrial output rose 5.6 per cent in October from a year earlier, matching January through March's reading which was the weakest since 2008. Fixed-asset investment increased 10.2 per cent in the first 10 months - the slowest pace since 2000 - while retail sales climbed 11 per cent in October, the quickest gain this year.
• The resources were a drag on the market, with BHP Billiton (BHP) down 62c (-2.9%) to $20.95 after hitting a low of $20.88. RIO Tinto (RIO) tried hard to remain positive and edged 1c higher to $49.40. BHP, the world's largest miner, saw its shares fall to their lowest intraday level since 2008 after a dam burst at a mine it partly owns, resulting in at least six deaths and dozens more missing. We did emphasise that BHP is a volatile investment but are still predicting a bounce over the short term.
• It was reported today that TPG Telecom (TPM) are going to the market to raise $300 million through an institutional placement. It is expected that the funds will be used to pay down debts associated with its purchase of iiNet in July this year. TPM were in a trading halt today.
• Fortescue Metals (FMG) reported today that it was repaying US$750m ($1.07b) in an effort to reduce interest costs. FMG closed 3% higher at $2.37.
• ANZ shares enjoyed a rare break from the recent gloom surrounding bank stocks, rising by 2.9 per cent to $26.29, the biggest increase of the big four today.The increase comes hot on the heels of a change in view from, UBS. We at Market Matters think ANZ has got to a point where it is heavily oversold.

Best Sector – Energy
Worst Sector – Materials

Winners
Qube Holdings Ltd (QUB) +$0.13, or (+6.0%) to $2.31
Regis Resources Ltd (RRL) +$0.115, or (+5.9%) to $2.05
Mayne Pharma Group Ltd (MYX) +$0.05, or (+4.7%) to $1.11
APN News & Media Ltd (APN) +$0.02, or (+4.0%) to $0.515

Losers
Monadelphous Group Ltd (MND) -$0.24, or (-3.4%) to $6.87
Pacific Brands Ltd (PBG) -$0.025, or (-3.5%) to $0.69
Dick Smith Holdings Ltd (DSH) -$0.045, or (-5.4%) to $0.785
OzForex Group Ltd (OFX) -$0.16, or (-5.7%) to $2.66

All figures contained from sources believed to be accurate. MarketMatters does not make any representation of warranty as to the accuracy of the figures and disclaims any liability resulting from any inaccuracy. Prices as at 11/11/2015. 4.14PM.

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The author holds an interest in the financial products of ANN, ANZ, BEN, CBA, MQG, OSH, SUN & SEK,.