Latest Equity Strategy report from Forsyth Barr headline reads (for NZ):
Reporting Season: Best Since 2012
I don't need to say to much more... (also heard the Aussie economy grew at 3% or something? "I thought they could only do resources...?") Clearly this oil (and well all commodities in general) slump is not having that much of an impact, despite oil prices (which have now stabilized and even showing signs of a small rebound) being relatively low, and unlike housing, 50% of bank loans are not to oil companies (I think Aussie bank exposure is around 3-4% vs mortages at 51%... In my view, it is pretty far fetched to think low oil prices are going to have a similar effect as a crash in the housing market...)