Sunset Strip (Afternoon Wrap) - Aussie market maintained the positive sentiment that was evident after mid-day yesterday despite Global markets being undecided...

Sunset Strip (Afternoon Wrap) - Aussie market maintained the positive sentiment that was evident after mid-day yesterday despite Global markets being undecided overnight with Russia, US data and stimulus optimism with China and Euro. Overall positive day was on the back of Financials outperformance again. Since the markets have priced in manufacturing slowdown on a global basis, US/Euro action against Russia have been irrelevant and China slowdown reduces credit risk, we have turned short term positive on 25th Mar with local markets to benefit from over $6b dividends paid in the past week being reinvested. Due to the overall low growth outlook, higher Emerging Market risk, rising currency and RBA outlook, we maintain Yield preference over Cyclicals from Jan 21st. We added BHP/RIO for Resources, CCP/CCV/TGA for Consumer Finance, PRT/SWM/SXL for Media and GEM/GXL for aggregator growth with recent model portfolio update due to improving market sentiment.