##{"id":60061,"date":"2012-06-06T13:23:32","date_gmt":"2012-06-06T03:23:32","guid":{"rendered":"http:\/\/www.fnarena.com\/index.php\/2012\/06\/06\/treasure-chest-expert-favourites-dusted-and-updated\/"},"modified":"2012-06-06T13:23:32","modified_gmt":"2012-06-06T03:23:32","slug":"treasure-chest-expert-favourites-dusted-and-updated","status":"publish","type":"post","link":"https:\/\/staging.fnarena.com\/index.php\/2012\/06\/06\/treasure-chest-expert-favourites-dusted-and-updated\/","title":{"rendered":"Treasure Chest: Expert Favourites Dusted And Updated"},"content":{"rendered":"

\n\tBy Rudi Filapek-Vandyck<\/span><\/p>\n

\n\tCommodities trading guru Dennis Gartman<\/span> is back in the gold futures market, buying additional exposure denominated in USD. Yesterday's edition of his daily The Gartman<\/span> Letter also included one other snippet that might prove of high value to other traders in financial markets: Gartman<\/span> suggests a bounce in EUR\/USD now looks like the path of least resistance. He considers 1.2950-1.30 as the logical target for such a corrective bounce.<\/p>\n

\n\tBut make no mistake: once this bounce has run its course, EUR\/USD should once again find gravity starting to pull it lower, reminds Gartman<\/span>.<\/p>\n

\n\tOver at Citi<\/span>, the team of quantitative analysts that compile the Quant<\/span> Focus List for the Asia Pacific region have now added Centro Retail ((CRF<\/span>) to their list of Idols. Past performances show selected Idols tend to perform significantly better than selected stocks on the Double Trouble list.<\/p>\n

\n\tA quick run down through the Idols list reveals a few other Australian names: Graincorp<\/span> ((GNC<\/span>)), Miclyn<\/span> Express ((MIO)) and iron ore pellet producer Grange Resources ((GRR<\/span>)). The presence of Grange in particular stands out as the list with 50 Idols stocks, ranges from financiers to equipment providers, to property developers, to producers of consumer electronics, to car manufacturers, to agricultural commodities, but there are no producers of oil, natgas<\/span>, bulk commodities or base metals on the list. That is, with the notable exception of Grange.<\/p>\n

\n\tOver at JP Morgan, where analysts compile a so-called Asia Analyst Focus List, the recommendation remains to stay long AGL<\/span> Energy ((AGK<\/span>)) but short Treasury Wine Estates ((TWE<\/span>)).<\/p>\n

\n\tInvestment strategist Tim Rocks at BA-Merrill Lynch updated his thoughts on Wednesday morning and the recommendation is to stay Underweight both banks and resources. Instead, Rocks believes solid dividend payers will continue to enjoy re-rating. His list of personal favourites<\/span> are now Sydney Airport ((SYD<\/span>)), DUET ((DUE)) and the earlier mentioned AGL<\/span> Energy.<\/p>\n

\n\tRocks has one additional recommendation for investors in Australia: try to avoid profit warnings and downgrades in the run up to the August reporting season. Sectors most at risk, he believes, include building, transport and insurance sectors including stocks such as Boral<\/span> ((BLD<\/span>)), OneSteel<\/span> ((OST<\/span>)), Fletcher Building ((FBU<\/span>)), FKP<\/span> ((FKP<\/span>)) and Toll Holdings ((TOL<\/span>)). Also at risk of large downgrades are mining services and materials stocks (resources), he predicts.<\/p>\n

\n\tGiven his mediocre view for the world in the second half this year, Rocks believes there's a chance the AUD might be punished very hard in the months ahead. This is why his investment idea for H2<\/span> is to be Overweight stocks that make their profits offshore and operate in non-cyclical sectors. BA-ML's model portfolio is now Overweight stocks such as Amcor<\/span> ((AMC)), Treasury Wine Estates, Westfield ((WDC<\/span>)) and other yield stocks plus stocks in the healthcare sector.<\/p>\n

\n\tStocks that have now been removed from the portfolio: Atlas Iron ((AGO)), Seven Group ((SWM<\/span>)), Crown ((CWN<\/span>)) and FlightCentre<\/span> ((FLT<\/span>)).<\/p>\n

\n\tMarket strategists at Macquarie do not share the subdued BA-ML view on pick and shovel services providers. Their Emerging Leaders list of preferred exposures consists solely of such services providers. Macquarie likes Mermaid Marine ((MRM<\/span>)), Miclyn<\/span> Express, RCR<\/span> Tomlinson ((RCR<\/span>)), Ausdrill<\/span> ((ASL<\/span>)) and NRW<\/span> Holdings ((NWH<\/span>)).<\/p>\n

\n\tMacquarie strategists also updated their Marquee Ideas this week. This saw QR<\/span> National ((QRN<\/span>)) and GPT<\/span> Group ((GPT<\/span>)) being added. Other stocks on the list are (in no particular order): SAI<\/span> Global ((SAI<\/span>)), Rio Tinto ((RIO)), Seven Group, Newcrest<\/span> ((NCM<\/span>)), AGL<\/span> Energy, Virgin Australia ((VAH<\/span>)), David Jones ((DJS)), RCR<\/span> Tomlinson, Origin Energy ((ORG)), Wotif.com ((WTF)), the pair trade Long Bendigo<\/span> and Adelaide Bank ((BEN))\/Short Bank of Queensland ((BOQ<\/span>)), NZ-listed Ryman<\/span> Healthcare ((RYM.NZ)), Mermaid Marine, Alacer<\/span> Gold ((AQG<\/span>)) and Incitec<\/span> Pivot ((IPL<\/span>)).<\/p>\n

\n\tAt least Macquarie's favourites contain a few miners and energy stocks, but then again, David Jones is on the list as well, and so is Virgin Australia.<\/p>\n

\n\tFind out why FNArena subscribers like the service so much: "Your Feedback (Thank You)<\/a>" – Warning this story contains unashamedly positive feedback on the service provided.<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"