Dear %%first_name%%,
The markets were pinning their every hope to the words coming out of European Central Bank boss Mario Draghi’s mouth last Thursday night, and thankfully, he got it right! Stocks rallied. But the markets are always looking ahead and that’s what I do in today’s note.
Also in the Switzer Super Report, Lance Lai updates us on a stock he recommended six months ago, and it’s now up 20%. Rudi Filapek-Vandyck explains why the GFC is now a GF-what? We have our regular broker wrap of buy, sell and hold ratings. Plus, Tony Negline compared binding death benefit nominations with reversionary pensions. Enjoy your week!
Sincerely,
Peter Switzer
The number of new owner-occupier home loans fell by 1% in July, Australian Bureau of Statistics data showed. Meanwhile, the value of all mortgage lending was down by 1.8%,with owner-occupier loans off by 1.4% and investment loans down 2.7%. The average home loan across Australia stood at $300,500, down 2.6% on a year ago.
But there was a positive sign in the data: first home buyers rose 18.5% to the highest level in six months.
"Over the last couple of months we have noted the encouraging, albeit modest, signs of improvement in housing activity. And the latest round of data highlights that the recovery is likely to be patchy although the sector does seem to have turned the corner," said CommSec economist Savanth Sebastian.
"The modest fall in housing finance commitments in July effectively gives back the gains from the prior month."