freediver - oh, my system is not ....... perfect in any way at all.

It's pretty easy to work out if a stock is going up or down. There are many ways.

eg, suppose I buy a share for $1.00 and it goes to $1.15. It is going up and is a winner.
If it goes to $0.89c, it is a loser - sell it.

Good news: Rudd has done a backflip on his policy of uncapped guarantees for bank deposits. Swan was caught out on Monday saying that the RBA did not want a cap. The RBA released written advice on Friday (though not directly to Swan) that a cap was necessary.

It sounds a bit like the first insurance policies - agreeing to share part of each other's risk - in this case the risk of a home loan defaulting.

ANZ have reported to the market first decline in profit for a decade.

"ANZ has reported its first annual profit fall in 10 years, after its bottom line was hammered by the global credit crisis and the bank ramped up its provisioning.

But chief executive Mike Smith said Australia's fourth largest bank was "looking pretty good now" and could look forward to profit growth in the new fiscal year if financial markets settled down.

ANZ today posted a net profit for the year ended September 30 of $3.319 billion, down 21 per cent from fiscal 2007.

Cash profit, which is adjusted for none-core items, was $3.029 billion, down 23 per cent on the previous year.

The results, which marked ANZ's first profit fall since 1998, were impacted by a $1.426 billion increase in credit impairment charges on lending to $1.948 billion, along with a $700 million charge for credit risk on derivatives.

As well, ANZ's gross non-performing loans rose from $666 million in fiscal 2007 to $1.750 billion.
Mr Smith said while the growth in credit losses was "disappointing", the bank's "ability to manage and absorb this shows a high level of resilience."

Looking ahead, Mr Smith said market conditions around the world remain difficult and he expects those condition to continue.

"Market conditions globally remain difficult and unpredictable," he said.

"While we expect choppy conditions to continue in 2009, ANZ is well positioned to manage this cycle, to continue to invest and maximise the opportunities which arise."

But Mr Smith told journalists that if markets settled down, ANZ would see profit growth in fiscal 2009.

"If everything stabilises, and we get back on track, then I expect to see an increase in earnings," he said.

In fiscal 2008, revenue rose four per cent to $11.485 billion.

ANZ's cost to income ratio was 47.4 per cent, up 2.5 per cent, and its net interest margin declined 18 basis points.

Mr Smith said the bank's collateralised debt obligations (CDO) exposure was now out in the open.

"The (CDO) exposure is now all in the open and has been for some time," he said.
"This bank is actually looking pretty good now.

"We have liquid assets of about $50 billion, which equates to all of our wholesale funding for a year."
Mr Smith also said Australia was likely to avoid a recession and that the Federal Government had acted swiftly to shore up the banking system.

"Ratings of the whole Australian banking system might (have come under pressure) because of the reliance on wholesale funding, and that was exacerbated when countries around the world started guaranteeing funding," he said.

"Australia was left out in the cold but the government reacted quickly and that was sensible.

ANZ is looking for economic growth of 1.8 per cent, annualised, in 2009 and seven per cent growth in Asia ex-Japan.

"We will not go into recession, we will definitely slow on the back of the global slowdown but it's better to be aligned with China and Asia than with the US or Europe," Mr Smith told journalists.

Mr Smith also said ANZ's so-called "super regional" strategy, which involves the bank's expansion into Asia to tap into deep pools of liquidity, was still the right strategy.

"I am pleased that we are in this region. I still believe our strategy to create a super regional bank is the right one."

ANZ's Asia Pacific business grew net profit by 52 per cent in fiscal 2008, following its investments in AMMB Holdings Berhad, Shanghai Rural Commercial Bank and PT Bank Pan Indonesia.

But its institutional business suffered a 65 per cent fall in net profit as he global credit crisis impacted.

ANZ's core personal banking arm grew profit by 12 per cent, on the back of strong deposit income and lending.

"Delinquency rates while tracking above last year are being tightly managed," it said.

In New Zealand, net profit fell by 12 per cent.

ANZ declared a final dividend of 74 cents, taking the total payout for fiscal 2008 to $1.36, which was unchanged from fiscal 2007."



http://www.news.com.au/dailytelegraph/story/0,22049,24540045-5014099,00.html

overall rudd did ok withthe guarantees.
The institutin NOT covered are investment funds - they are of a higher risk style, so should not be guaranteed.
it'ld be akin to guaranteeing investments in shares.

Cash deposits are guaranteed.
The currency drop is due to the commodities boom finishing. There is less demand for the Aussie dollar.
This helps our exporters - which is good !!!

I had to have a look for that one. Apparently yes.


"Credit unions and mutual building societies welcomed today’s decision by the Government to guarantee deposits with all of Australia’s credit unions, banks and building societies.

"The Government is reassuring Australians that their credit union, building society or bank is a safe haven for their savings," said Ms Louise Petschler, CEO of Abacus – Australian Mutuals, the industry body for credit unions and mutual building societies.

"We’re pleased with the Government’s strong and decisive move, which is supported by the soundness of our financial system," said Ms Petschler.

"The guarantee removes any worry for Australians and means that every deposit with a credit union, bank or building society has full Government support."


http://www.encompasscu.com.au/campaigns-campaign-2008-encompass-credit-union-welcomes-government-deposit-guarantee.html

Quote:


Yes and this is the worry Sappho. It's good that Rudd is guaranteeing building societies and credit unions - I didn't know that - but that would be his limit.

Any other institutions (and banks) - have to pay insurance on deposits over $1 million and depending on their rating - it could be double that of a bank.  There is no security for lesser amounts - which means it won't be long before many of them go out of business.

mantra wrote on Oct 26^th, 2008 at 9:30pm:


All of this is only one aspect.

Don't forget that rudd also promised to underwrite interbank lending to free up the market. What happens then if ANZ lends to oh say... some Icelandic Bank... and that bank does not pay them back? Australian Tax payers pay back that loan... that is what it means for a govt to underwrite the interbank lending.