Banks

Insurers are homing in on commercial clients, banks are looking at construction again and ASX is eyeing off the funds management sector.

Michael Gable of Novus Capital suggests a last hurrah bounce for Australian bank shares is in the offing before further declines, with Westpac chosen as the example.

Australia’s major bank valuations may be about to unwind, while asset quality is improving. Small cap engineers are holding up, small retailers will be affected by discounting and residential building is showing positive signs.

Austbrokers has acquired two more insurance agencies, adding to a division that’s expected to write over $210m on an annualised basis.

The Chartist sees further weakness ahead for Australian bank share prices before a longer term uptrend can resume.

Ford shuts shop in Australia, Australian dollar forecasts are reviewed and brokers ask when the rally in Australian banks will end.

Banks are now all about yield, but on low earnings growth and already elevated payouts, do brokers see any value left following the bank reporting season?

Domestically, NAB’s interim result was in line with peers. A lack of similar capital management nevertheless reflects the bank’s legacy UK albatross.

Westpac’s special dividend was no great shock but a big lift in payout ratio from an investment bank sure is.

Two brokers jump into the ring to fight out the argument as to whether Australian banks are in a dangerous price bubble or are still offering relative value support.