Where's all this capital sitting around in people's savings accounts that Shadow, Peter and the other socks go on about? If you wanted to buy into shares surely there would be no greater share to buy than the big four in the midst of a debt fuelled boom.
More debt leads to more bank profits leads to more ROI...........doesn't it?
Looks although the cracks are showing for what should have been a minor jolt.
There wasn't enough equity dilution to justify an 8% drop though. Revenue and profit numbers took care of most of that.
Weight of money. 3bn is a lot. Was always going to affect the after market.
I do not beleive the company announced a profit downgrade.
Ex BP Golly
7 Aug 2015, 08:08 PM
Did someone mention "firesale"?
No
Chris
7 Aug 2015, 08:50 PM
Where's all this capital sitting around in people's savings accounts that Shadow, Peter and the other socks go on about? If you wanted to buy into shares surely there would be no greater share to buy than the big four in the midst of a debt fuelled boom.
More debt leads to more bank profits leads to more ROI...........doesn't it?
Looks although the cracks are showing for what should have been a minor jolt.
There are no cracks. Stop fooling yourself. This was expected. And there is more to come.
Probably a storm in a teacup, our markets don't tank on fundamentals they tank in response to the US markets tanking. Share markets have become completely detached from the real economy now.
"Panics do not destroy capital; they merely reveal the extent to which it has been previously destroyed by its betrayal into hopelessly unproductive works." John Stuart Mill
ANZ yesterday pre-released a weaker than expected $1.73bn third-quarter cash profit weighed down by a spike in bad debts to $367m, or 25 basis points of gross loans.
“Talk sense to a fool and he calls you foolish.” - Euripides
There are no cracks. Stop fooling yourself. This was expected. And there is more to come.
The market obviously didn't price it in.
Shareholders are going to start applying pressure. They read here the constant wankings of the spankulators, and are starting to get upset that mediocrity can be so vocal.
The screws are now to be applied the rentier class at all levels.
WHAT WOULD EDDIE DO? MAAAATE! Share a cot with Milton?
They can either get money from the free market to meet capital adequacy requirement or ask RBA to print money and shower it on them like a $2 stripper. I'm glad they chose the former*.
*Until Glen Stevens turns on the QE tap at some point in the future.
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