At US$35 per barrel crude oil, nearly every US shale company is cash flow negative. So, energy firms are burning through cash and other forms of liquidity.
Conventional wisdom says that if you want a ‘safe’ and diversified portfolio, you should allocate most of your share portfolio to blue-chips.
When it comes to growth, few stocks offer better growth opportunities than small-cap stocks.
Simply put, when you invest in the biggest market capitalisation stocks on the ASX, you’re basically investing in the broader direction of the market — not in quality business.
Had they decided to lower the cash rate, the RBA would have been put in the position of being seen to be underwriting the banks’ profits.
You’re well aware that investing is not risk free. You only have to look at the performance of the ASX — or any of the world’s other stock markets — this year to verify that.
The performance of the Aussie share market’s blue chip stocks this year shows you how dangerous it can be to put too much faith in them.
Now when it comes to Aussie stocks, the fun, the excitement, the Nitro power stocks are small-cap stocks.
The ACCC has officially approved the expanded co-operative deal between Qantas [ASX:QAN] and American Airlines [NASDAQ:AAL]. The ACCC had to consider the deal, and see whether it would hurt consumers’ choices or reduce competition.
Shares in port operator Asciano Ltd [ASX:AIO] exploded today, gaining nearly 17% on a broadly positive day for the Aussie stock market.