Credit Suisse cuts ASX/200 outlook - Business Spectator
Alan has been a trusted source of investment advice to Australians for many years, and in 2005 he founded Eureka Report - Australia’s #1 online investment report. Along with Robert Gottliebsen and Stephen Bartholomeusz, Alan also founded Business Spectator, the popular business news and commentary website. Credit Suisse has cut its year-end target for the ASX/200 index -- the benchmark index for the Australian Securities Exchange -- as investor enthusiasm for local stocks is dampened by a soggy outlook for company profits. In a research note by analysts headed by Hasan Tevfik, Credit Suisse lowered its year-end target for the index by 7. 7 per cent to 6,000 points, downwardly revised from its previous forecast of 6,500 points. "Analysts currently forecast close to zero earnings-per-share growth for the 12 months to June 2016. ". Credit Suisse said falling commodity prices, rising bank capital requirements and a sluggish domestic economic outlook all bode poorly for... The investment bank is expecting sub-trend economic growth over the next year, with real GDP growth possibly touching a low of 1 per cent. The iron ore price remains close to a 10-year low, gold plunged to a 5-year trough yesterday, while copper -- a barometer for global economic strength -- has also been persistently tracking just above a mutli-year low. Source: www.businessspectator.com.au
