Switzer Super Report

Dear %%first_name%%,

So there was a bit of data out of the US last week that caused a few jitters, but I’m not running scared yet – far from it. I actually think we might be at the beginning of quite a secular bull run and, as I keep telling you, any correction we do see will be brief, and should be used as an opportunity to buy.

To help you with those buying decisions, today in the Switzer Super Report we have our updated Income-Oriented Portfolio for 2014. Paul Rickard explains a couple of changes, and why we have down-weighted our allocations to the yield stocks, given their outperformance last year.

Also today, we have Gary Stone with charts on Invocare and why the company that deals in death, might be about to experience a bit of life, and in Buy, Sell, Hold – what the brokers say, the analysts had a busy start to the year, Oil Search and Qantas got upgrades, as Newcrest got a double downgrade.

Auction clearance data isn’t back for January yet but we do have new home sales for November, which reached a two and a half year high.

Sincerely,

Peter Switzer

January is typically a slow month for auctions and property sales, so we don’t have any auction clearance data for the first few weeks of the year. But what we do have is the Housing Industry Association’s data on new home sales for November, which were up by 7.5% to their highest level in two and a half years. Importantly, the graph below shows that over the past year or so, while the increases have been rapid, we are coming off a 15-year low and are now just at the five-year average. Hardly cause for bubble concern, just yet.