So far the Australian economy has held up quite strongly in 2014 and has outperformed many other developed economies since the GFC caused havoc across global markets in 2008-2009. Belatedly the Australian stock market has also shown post GFC bullish signs having rallied strongly from a low last year to up around 5500 this year. So all is going well right? Well not really, and if we scratch under the surface there are some very worrying trends which could cause years of strife for the Australian economy and the Australian stock market.
Search Results for all ords 10 year chart
June 6th, 2014 · 6 Comments
March 19th, 2014 · 21 Comments
Over the last few months the Australian stock market has moved without any real conviction and appears to have settled within a range between 5100 and 5450. There has been no clear breakout towards 6000 nor has a major correction taken the market down to what I would describe as a buying range. At this stage it appears difficult to spot any clear trend by looking at the ASX All Ords Index and/or S&P/ASX 200 so I will go one level lower, and look at some key sector ASX Market Indices.
January 13th, 2014 · 5 Comments
By the end of 2013 the ASX All Ordinaries Index (XAO) & S&P/ASX 200 Index (XJO) both gained around 15% which was a healthy above average annual gain with the long term return for stocks being around 10%. But we need to keep the 2013 gains in perspective and not get carried away by some of the media hype and excitable comments being made by fund managers & analysts etc.
December 16th, 2013 · 5 Comments
At this time of year we are bombarded with the less than useful reflections of market analysts, brokers and finance columnists who use the benefit of hindsight to tell us mere mortals how they spotted the trends for the year and how easy it was to have profited from the stock market. I however will spare my readers this ordeal and calmly analyse charts of the ASX All Ordinaries Index going back 10 years. I will also look back on the long term outlook for the Australian stock market that I outlined in 2009 and review how events have unfolded since then.
October 25th, 2013 · 20 Comments
Today the ASX All Ordinaries Index is up near the 5400 level with few signs that the current rally which started in July is about to fade. For market bulls this is a joyous occasion and for long term investors such as myself, it is a welcome change from years of the market edging sideways. However I will not be breaking out the champagne just yet as there are risks out there which seem to be getting over-looked.
September 25th, 2013 · 13 Comments
There is a lot of confusing news & information swirling around regarding the markets these days. Depending on who you listen to either the U.S. economy is recovering or Ben Bernanke is the ultimate asset bubble creator. In China some see the economy in a state of planned transition whereas others (including myself), see it as a command economy fuelled by unsustainable credit growth. Meanwhile in Australia there appears to be some confusion regarding if the mining boom is over or just having a rest?
September 8th, 2013 · 3 Comments
Well it’s over at last – the end of what has essentially been a three year election campaign in Australia and hopefully also the end of political instability; but that may be asking for too much. Tony Abbott will be the next Prime Minister of Australia, Kevin Rudd will now get on with doing what he does best what he does best – sulk in a corner and the Australian stock market will probably not do a lot.
March 27th, 2013 · 12 Comments
Since mid last year, the Australian stock market has staged a fairly impressive rally with the ASX All Ordinaries Index moving from a decidedly bearish level of down near 4000 to a bull market level of just under 5200 points. But of late the market has slipped back which will worry some investors, while others see this a simply a pause before the rally upwards continues.
February 12th, 2013 · 12 Comments
Recently every move upwards the stock market takes, no matter how slight, is greeted with almost ecstatic cries of joy from many analysts, finance journalists and assorted market watchers. It’s as if the ASX All Ordinaries was heading towards a new high and investors were being showered with money in the midst of a raging bull market that had no limits. Certainly there have been good returns of late for those investors who timed their entry into market almost perfectly, but for longer term investors it’s more of case of here we go again.
January 2nd, 2013 · 3 Comments
In 2012 the Australian stock market finished the year higher with the ASX All Ordinaries Index posting a gain of around 12% to close at 4663.30 points. Unsurprisingly much of the financial media excitedly churned out headlines suggesting stocks were soaring and many commentators focused on the annual rally being the best since 2009. However if we look past the nonsensical rambling of much of the mainstream media the reality is that All Ords has in reality simply moved back up to a level below where it finished at the end of 2009 and is still way below the pre-GFC market high.
October 17th, 2012 · 1 Comment
The Australian stock market closed up again today with the ASX All Ordinaries Index finishing at 4550.90 points – a rise of 0.82% for the day. The last couple of months have been generally kind to Australian stocks but we need to keep this recent stock market movement in perspective.
August 19th, 2012 · 36 Comments
Now that the Australian stock market has staged a very modest rally over the last few weeks an assortment of finance writers, brokers & market watchers will begin to speculate if this rally is the start of something big. Indeed if we focus on the short term the market has done fairly well over the last few weeks, however the longer term trend suggests that the Australian stock market is still stuck in a rut.
June 21st, 2012 · 1 Comment
The last month or so has been quite a ride for Australian stock market investors with the ASX All Ordinaries Index falling from around 4500 points to around 4000 points. The continuing economic woes in Europe, the economic slowdown in China and the stagnant U.S economy have worked to drag the share market down as have signs that the Australian domestic economy is showing signs of weakness.
February 15th, 2012 · 3 Comments
It may appear to some investors that the Australian stock market has started 2012 in the same volatile manner as we have become use to over the last few years, however trading so far this year has been fairly calm. An optimist might believe that this is an indication that the markets are finally settling down though I fear we are simply enjoying a period of calm before we enter a stormy phase again.
October 5th, 2011 · 8 Comments
Prices for hard commodities such as copper, iron ore & coal have risen strongly over the past decade and are now trading well above their long term historical averages. This in turn drove the ASX All Ordinaries Index to a bull market high in 2007 and has helped put some support under the market ever since. But is it realistic to expect high commodities prices will keep propping up the Australian stock market?
August 29th, 2011 · 8 Comments
Often it is useful to step away from looking at the daily movements of the stock market and review what has happened over the last decade. This won’t exactly tell investors which stocks will do well during the next 10 years, but it does show which trends have moved the market to where it is now.