FN, page-2403

Agree with you about the banks. We have discussed before that the big boys can not stand still, like sharks, they must push something up or down. So sideways is possibly accumulation. I suppose it could be offloading but they have had heaps of opportunity to this already. So let’s go with accumulation shall we, and a prayer. And shorters are holding steady too.

Along these lines check this headline out

https://edition.cnn.com/2020/01/12/investing/stocks-week-ahead/index.html

And in case it gets replaced under the same website, here is the part I am referring to






So in the US, lower rates are not all bad news as stated above (lower bad debt, cheaper funding for the banks, people borrow more, etc). Everything we talked about that works to protect the sacred NIM. But it seems that principle doesn’t apply over here, well not at least according to the analysts, including Morgan Stanley. But wait MS is getting that benefit over in the US. Obviously there must be something special about the northern hemisphere that doesn’t apply here, because we are upside down. Anyway, I am sure you get the drift of my argument. I think the banks will be fine, even in this low rate environment.

K2F has been a good ride since 12, but I got on that bus a few stops before that, at around 23 something. Still, currently in green so can’t complain. Depending on the 1HFY results, it could re-rate (if it goes cash flow positive, which it must be close to being so imo), which would be dandy! We shall see.

I think D2O is being held down. Just a suspicion. But that would imply a TO. So maybe not. Will keep watching and holding.....

TLS is apparently kicking goals with the 5G uptake. Bigger than the number of users in the US now I read a headline somewhere. May it continue, and stick it to the NBN.....

AST (and SKI for that matter) is a dividend play. That’s it. No CG required.

And along those lines, I have a new addition to the family! NBI. Put an order for some @ 2.07 early last week, and it finally got filled today. Monthly dividends, but only around 5% or so, with no franking. Still, it’s based on bonds so should be more defensive than stocks.... My wish list of stocks to buy is shrinking.

What is all this buying small parcels of multiple coys you ask? I am glad you did. Remember it’s now cheaper for companies to raise money by SPP rather than pro rata entitlement. So any amount of marketable shares in a coy allows you to participate in a given SPP, and suddenly you can have up to 30k of the said coy. So, one of my crazy plans is to buy small parcels of stocks I like, just in case they have a CR and I can increase my holdings on hopefully favourable terms (would have worked with ALX quite well).

Back to NBI. They have stated they will be looking to raise more funds in January in a recent announcement, so I grabbed a few. It’s not volatile, it’s defensive and pays more then bank interest. So it’s not too bad. I have another order for 2k at 2.07 buried halfway in the buy queue just below the 48543 buy order.

Lithium stocks are probably getting some love because of this

http://www.asianmetal.com/LithiumPrice/Lithium.html

The lithium price seems to be bottoming out, so people are positioning themselves for a rebound. Am I tempted? You bet. Problem is I seem to have misplaced my gonads, and I seem to have developed an unnatural affection for my capital. Those AVZ scars runs deep, very deep. So like WZR, I will probably just watch from the sidelines, and kick myself repeatedly later.

That’s it for now, though I feel like I have forgotten to mention something. Meh, it will come to me later.