Tuesday, February 4, 2014
From the FT:
Ocado has the benefit of being part of growing market. Online’s share of the grocery market will nearly double from almost 4 per cent in 2013 to 7 per cent by 2018, according to IGD. “We are preparing for a massive opportunity,” says Mr Steiner.
It is an opportunity that fellow co-founder Jason Gissing has chosen to skip. Mr Gissing will step down as the group’s commercial director later this year, but will retain his 3 per cent stake in the company.
Thursday, February 6, 2014
From RNS: Read more
Rio Tinto’s problems with its aluminium business are well documented.
But things could have been worse without all that warehousing shenanigans from Goldman et al. Read more
The Reserve Bank of Australia’s deputy governor has been speaking on Thursday. Sadly there were no jokes but Philip Lowe did attempt to explain his boss’s side-splitting gag.
RTRS – RESERVE BANK OF AUSTRALIA DEPUTY GOV LOWE SAYS BOARD DID DELIBERATE FOR VERY LONG TIME, BUT ALWAYS DOES Read more
Kevin Rudd 2.0 has been quick to highlight the dangers posed by slowing Chinese growth since he was returned as Australia’s prime minister.
For example: Read more
Central bankers can do many things but they should never, ever attempt humour.
To illustrate the point we present the price action in the Australian dollar on Wednesday. Read more
Another day, another Aussie GDP downgrade.
From BofA Merrill Lynch: Read more
That’s recession and the merest hint of the word sends Australian policymakers in to paroxysms of anger.
For example, here’s David Gruen (the Treasury’s chief macroeconomist) speaking before a Senate hearing last week.
From the Sydney Morning Herald: Read more
The pain goes on for the currency dubbed until recently the southern Swiss Franc…
We are, of course, talking about the Australian dollar — now going head to head with the Syrian pound for the title of the world’s worst performing currency.
The latest drop follows a call from Pimco of even lower interest rates. Read more
In the M&A hall of shame, Rio Tinto’s top-of-the-market $37bn acquisition of Alcan (in CASH) is right up there. In this century, at least.
It was a truly disastrous deal that nearly killed the Anglo-Australian mining company and its after-effects are being felt to this day. Just ask Tom Albanese. Read more
We are, of course, talking about iron ore which has slipped into bear market territory overnight (defined here as 20 per cent fall from a recent high).
Message from the CEO of Bloomberg
Dear Client, Read more
The Aussie banks are very good companies. They are profitable, resilient, well capitalised, well managed, shareholder focused and have a very strong industry and regulatory structure. However, following the significant leveraging of the Australian & NZ households over the last thirty years they are now low growth and remain heavily exposed to housing, funding markets & unemployment risk. Read more
No respite for gold producers in the southern hemisphere on Tuesday morning…
And no dead cat
bounce splat for the gold price.
And to spell out why this is such an issue for the gold miners, we present the following thoughts from Citigroup. Read more
The biggest ASX fallers on Monday…
… all gold.
(yes, even PanAust)
It was supposed to be one of the best trades of 2013 – buy mining stocks to get leveraged upside to the global economic turnaround. But as we approach the end of the first quarter, only one half of that equation is working. The world economy is recovering strongly but the big miners are being well and truly left behind – Australian Financial Review.
Yep, the miners as a ‘leveraged play on global growth” is not going exactly to plan: Read more
Remember Australia’s inverted yield curve in 2012?
What now for Xstrata CEO Mick ‘The Miner’ Davis?
Bloomberg thinks it has the answer: Read more
Sam Walsh, the new Australian boss of Rio Tinto has probably never heard of Tony Pidgley, the chairman of upmarket UK housebuilder Berkeley Homes.
Which is a pity because Pidgley, adopted from Barnardo’s at the age of four by travellers, could give him some tips on how to run a cyclical business and maximise returns to shareholders. (Something, of course, his predecessor conspicuously failed to do). Read more
… they do things differently there.
If you thought Nathan ‘the Innocent Abroad‘ Rothschild had been badly treated in Indonesia, spare a thought for shareholders of Intrepid Mining. Read more
Move over Gulf Keystone; there’s a new wannabe supermajor in town.
It’s a small Australian exploration and development company called Linc Energy – tagline ‘Fueling our Future’ – and according to some hysterical media reports down under it’s found oil worth $20 trillion. Read more
The new Rio boss has a few nice words about his predecessor, followed by a flash of steel, in a letter to staff. And it’s about all you’re likely to hear from Walsh until annual results on Valentines Day. Read it after the jump: Read more
Time for some property porn.
It comes from the 2013 Demographia International Housing Affordability Survey – a piece of work often quoted by bubble hunters and rubbished by the property bulls who babble on about flawed methodology. Read more
A final word on Thursday’s defenestration of Rio boss Tom Albanense (via JP Morgan).
What’s this? A new publicly listed bank?
And before you ask, we are not talking about Metro Bank or those RBS branches ear-marked for sale being rolled up into some Aim-listed shell vehicle. Read more
Having tracked (with some glee) last year’s gut wrenching slide in the iron ore price…
… it’s high time we made a few observations on the recent dizzying ascent of the steel making commodity. Read more
The price action in Southern Cross Media, the parent company of Sydney’s 2Day FM on Monday morning:
For non-Australia readers, it’s the station which did the royal prank call. Read more
So Glenn Stevens likes the nags after all.
Well, sort of.
For the first time since he took the helm of the RBA in 2006, the governor did not tinker with interest rates on Melbourne Cup day (a public holiday across parts of the country). Read more
Hours (well minutes) of fun courtesy of the EU.
It’s the new disclosure regime for short selling, which involves the FSA publishing a list of the most shorted stocks in the UK. Read more