Banks

House prices, building activity and consumer confidence are all subdued and Goldman Sachs has downgraded Australian economic growth forecasts.

The bursting of the Australian stock yield bubble has brought bank valuations back to more reasonable levels.

QBE’s transformation plans are going well and brokers are upbeat about the transition to Manila operations, with upside risk to cost savings.

Peter Switzer of the Switzer Super Report explains why he added to his bank stock portfolio last week.

Michael Gable of Novus Capital expects ongoing volatility on the Australian market, and believes Computershare will fall further before presenting a buying opportunity.

AMP’s big profit warnings took everyone by surprise, but only served to highlight ongoing risks in an increasing difficult life insurance market.

If a new government repeals the carbon tax, certain companies will benefit, while a weaker Australian economy would lift bank bad debts, and the battle is on for casinos and Aussie punters.

Were the US Federal Reserve to announce it will begin tapering its QE policy, ANZ would be the bank to benefit.

Bank valuations are becoming less stretched while retailers are still battling with a reluctant consumer. Telecoms are maturing and plasma is robust.

Contrary broker views on NIB Holdings reflect more of a timing issue to growth rather than disagreement over value.