Banking stocks tumble. ASX set for sharp fall on the open

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1 Banking stocks tumble ASX set for sharp fall on the open Powered by wise-owl.com

2 YESTERDAY IN THE INTERNATIONAL MARKETS Global Ticker Daily Change Global Shares Fall as Lenders Slump A plunge in banks put a halt to the optimism that lifted European equities last week, sending them to their biggest slumps since early July. It appears that last week s bullishness, triggered by confidence that central banks will continue to spur growth, is quickly fading amid growing worries about Europe s recovery and the state of its lenders. Benchmark equity gauges of Germany, France and Italy declined more than 1.5 percent, while Britain s FTSE 100 Index fell 1.3 percent. The MSCI All-Country World Index fell 0.9 percent in New York. The S&P 500 Index slipped 0.9 percent to 2, JPMorgan Chase & Co., Bank of America Corp. and Wells Fargo & Co. led losses in U.S. financial shares, while Deutsche Bank sank 7.5 percent. S&P % Dow Jones -0.91% NASDAQ -0.91% STOXX % FTSE % DAX % Crude Oil +2.56% Gold +0.01% A measure of emerging-market stocks slumped 1.3 percent as Turkish shares led losses among the world s biggest equity markets.

3 THE ASX YESTERDAY IN REVIEW AUS Ticker Change ASX Reverse Early Declines to Trade Flat; Staples Down Following a 2.5 per cent gain last week, the ASX started the week flat with a mixed performance amongst the sectors. The Information Technology sector as well resource stocks and gold producers gained while shares in Consumer Staples fell. Australia s largest diversified retailers Woolworths (WOW) and Wesfarmers (WES) experienced significant losses. The S&P/ASX 200 ended the trading day unchanged at 5,431 points, while the All Ordinaries and Small Ordinaries traded flat as well. Amid corporate activity, SAI Global soared 29 per cent as the company is backing a $1 billion takeover from Hong Kong-based Baring Asia Private Equity. The offers values the company at $4.75 per share. SAI finished the day at $4.62. ASX Futures are pointing to a sharp fall on the open after international markets declined overnight. ASX % ALL ORDS +0.01% CBA +0.00% BHP +0.09% ANZ +0.04% WOW -2.14% MND -1.31% ADA -0.33% BKY +5.39%

4 DAILY PRICE ACTIVITY AUSTRALIA ASX200 price action yesterday

5 UPCOMING DIVIDENDS Tasty dividends & distributions CODE DATE CODE COMPANY COMPANY NAME EX DIVIDEND ANNOUNCEMENT PAY DATE AMOUNT FRANKING % JHC Japara Healthcare 27 Sep Oct NST Northern Star Resources 27 Sep Oct SRX Sirtex Medical 27 Sep Oct AIA Auckland Airport 28 Sep Oct APD APN Property 28 Sep Oct BOQPD Sep Oct CLH Collection House 28 Sep Oct LNK Link Administration Holdings 28 Sep Oct MBLHB HY 3M PER Q ST 28 Sep Oct MXI Maxitrans 28 Sep Oct MYR Myer Holdings 28 Sep Nov Courtesy of

6 WHATS HOT? WHATS NOT? NCC.asx - steaming hot PRO.asx - cooling down DATE CODE COMPANY ANNOUNCEMENT Pre-tax Net Tangible Assets (NTA) of the NAOS Emerging Opportunities Company (NCC) was $1.38 as of 31 August 2016 which is a 6 per cent improvement compared to July. NCC seeks to provide exposure to undervalued emerging companies. The investment portfolio has outperformed the Small Ordinaries Index since inception and returned over 44 per cent over the past 12 months. Shares of Prophecy International Holdings have lost over 50 per cent since the beginning of the year and are currently trading at a 52-week low. While the company experiences positive revenue and earnings growth, shares have taken a hit after management downgraded their guidance. The company blames deferred sales in the third quarter which has resulted in a weaker than expected performance.

7 ECONOMIC NEWS What to look out for: DATE CODE COMPANY No economic data for Australia or any of the major Asian countries U.S. services data due tonight

8 LATEST UPDATE FROM WISE-OWL Creso Pharma Limited (CPH) Float Watch: CODE Creso COMPANY Pharma Limited (CPH) ANNOUNCEMENT Creso Pharma Limited ("Creso Pharma", "the Company") is an Australian biotechnology company focused on cannabis and hemp based medicines. Creso Pharma's primary focus is to develop and commercialise pharmaceutical-grade cannabis based products and treatments. The company was incorporated on 20 November Creso Pharma offers speculative exposure to demand for cannabis based medical products. While early key relationships are attractive, successful development of delivery products will be the primary share price driver. Funding requirements, regulation and free float are principal risks. The global medical cannabis market has experienced rapid growth over the past few years and while there is no guarantee that Creso Pharma can successfully commercialise its products, the undemanding valuation mitigates some of the risks of this start-up. ASX:CPH IPO Offer Price: $0.20 Listing: 12th October Rating: 2/5 Click here to view full report

9 OUR VIEWS AT A GLANCE Find below a summary of Wise-owl s current market views CODE COMPANY ANNOUNCEMENT We continue to focus on small-mid cap stocks There are individual opportunities on the ASX 200 We feel comfortable with our exposure to the gold sector We see little upside for US stocks in the medium-term

10 A WISE-OWL PUBLICATION Presented by Simon Herrmann DATE CODE COMPANY ANNOUNCEMENT Wise-owl.com Discovering the Bluechips of Tomorrow Wise owl specializes in identifying emerging companies and financial market trends very early in their life cycle. The significant capital growth that often follows has earned wise owl a formidable reputation for discovering the bluechips of tomorrow. Investors, executives, and institutions harness this expertise through wise owl s research, and capital market services. Phone: Phone (Int.): Fax: Post: Suite 4.02 Level 4,139 Macquarie St, Sydney, info@wise-owl.com Follow us on Twitter Like us on Facebook Linkedin Add me on Linkedin:

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