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

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.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Land & Water Forum: Fourth Report On Water Management

The Land and Water Forum (LWF) today published its fourth report, outlining 60 new consensus recommendations for how New Zealand should improve its management of fresh water and calling on the Government to urgently adopt all of its recommendations from earlier reports. More>>



Welcome Home: Record High Migration Stokes 41-Year High Population Growth

New Zealand annual net migration hit a new high in October as more people arrived from than departed for Australia for the first time in more than 20 years. More>>


Citizens' Advice Bureau: Report Shows Desperate Housing Situation Throughout NZ

CAB's in-depth analysis of over 2000 client enquiries about emergency accommodation shows vulnerable families, pregnant women and children living in cars and garages, even after seeking assistance from the Ministry of Social Development and Housing New Zealand. More>>


Speaking For The Bees: Greens Call For Neonicotinoid Pesticide Ban

The National Government should ban the use of controversial pesticides called neonicotinoids after evidence has revealed that even at low doses they cause harm to bee populations, the Green Party said today. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news