July 4 fears, page-15

Yes BHP will off load many more of its 'non core' assets within the comming year if they have their work ready for these floats.

Two major banks, NAB and ANZ will be worth shorting (over a 10 month period). Buy put options at the 10% discount mark to last Friday's closing price. Hedge it if you want to cover your behind with a September December call, but not beyond.

MacMahons is a typical example of the market not knowing how to value a company on the basis of their management and their fundamentals sticking instead to only technical analysis. (those graphs move in an earth quake).

There is likely to be worse news than already known at the Coles/Myer camp. Not a recommended buy. Xmas will inflate their earnings and profit figures but I would not be swayed by that.

I will stay away from Telstra for a while. They are in uncharted waters as far as the skeletons in their closets are concerned. Optus is on the mend and could either be sold off again or revamped. The latter is more likely. If it is sold, there will be a rish for the exit door by many a major fund. It could signal the end of confidence in our small market.

I suspect that they will hold on to it (SingTel) and rework the beast with a few sackings at management (middle and upper levels0 and stem the pracitces of bloating and inflating accounts. If what I hear is correct, the accounting function will be controlled by Singapore where the upside for executives who make a company's share price rise, but a fate worse than death for those who do a worldcom, Xerox, HIH or One Tel on them.

Those small mining companies are playing with fire. But whos watching? Keep some cash handy.