Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Pleasing reporting season despite ANZ softer revenue growth

Investors likely to be pretty pleased with the reporting season so far despite ANZ softer revenue growth

By Ric Spooner (Chief Market Analyst, CMC Markets)
15 August 2014
www.cmcmarkets.com.au

Offshore leads should provide a positive macro background for this morning’s share market opening. Mr. Putin’s comments that Russia would stand up for itself but not at the cost of confrontation with the outside world saw further unwinding of risk premium. This was most evident in the oil market which continued its downtrend last night. Consequently oil stocks may be a soft sector in today’s trading.

ANZ’s result will be a key for market sentiment this morning. Banks share prices have struggled to make headway in recent months. This indicates that bank valuations have reached levels that are somewhat of a ceiling for potential buyers at this stage. CBA failed to rally after a better than expected dividend announcement this week, news that the market would have embraced warmly 12 months ago.

The negative aspects of today’s quarterly update from ANZ were pressure on revenues and ongoing reliance on reduced provisioning. However, those looking for a cyclical upturn in the economy will be pleased by news that corporate lending is showing signs of improvement.

Overall, investors are likely to look back on a busy week with relative satisfaction. Expectations for the current reporting season had set the bar at pretty high levels. This was not necessarily going to be an easy task given soft economic growth. So far good cost control has yielded overall results that have been good enough to see a rise in the index over the week.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: RBNZ Keeps OCR At 3.5%, Signals Slower Pace Of Future Hikes

Reserve Bank governor Graeme Wheeler kept the official cash rate at 3.5 percent and signalled he won’t be as aggressive with future rate hikes as previously thought as inflation remains tamer than expected. The kiwi dollar fell to a seven-month low. More>>

ALSO:

Weather: Dry Spells Take Hold In South Island

Many areas in the South Island are tracking towards record dry spells as relatively warm, dry weather that began in mid-August continues... for some South Island places, the current period of fine weather is quite rare. More>>

ALSO:

Scoop Business: Productivity Commission To Look At Housing Land Supply

The Productivity Commission is to expand on its housing affordability report with an investigation into improving land supply and development capacity, particularly in areas with strong population growth. More>>

ALSO:

Forestry: Man Charged After 2013 Death

Levin Police have arrested and charged a man with manslaughter in relation to the death of Lincoln Kidd who was killed during a tree felling operation on 19 December 2013. More>>

ALSO:

Smells Like Justice: Dairy Company Fined Over Odour

Dairy company fined over odour Dairy supply company Open Country Dairy Limited has been convicted and fined more than $35,000 for discharging objectionable odour from its Waharoa factory at the time of last year’s ”spring flush” when milk supply was high. More>>

Scoop Business: Dairy Product Prices Decline To Lowest Since July 2012

Dairy product prices dropped to the lowest level since July 2012 in the latest GlobalDairyTrade auction, led by a slump in rennet casein and butter milk powder. More>>

ALSO:

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news