In the Media

The market has shown signs of turning from bullish to bearish, but materials, energy and healthcare look ready to run, according to chief analyst at Wealth Within, Dale Gillham. Gillham said materials were the best performing sector the past week, with strong rises from Rio, BHP, and FMG, supported by a weakening Australian dollar and rising iron ore prices. Energy and information technology also looked good, while telecommunications was down around four per cent, and it is down around 18 per cent for the year...

Wealth Within's Dale Gillham is even more optimistic, saying he thought the news around iron ore was "a bit overcooked" because it's hardly news that China's economy is slowing. He said that the materials sector continues to be attractive to investors because the US economy is expanding, as is Australia's and while growth is slowing in China, it's still expanding at one of the fastest rates in the world. "BHP, RIO and FMG are all down over 10 per cent from their highs, and yet they are all searching for a low before the next rise," Mr Gillham said. "I believe the time to start looking to add them to your portfolio is not too far away."

Wealth Within chief analyst Dale Gillham says its been a "rough road" for AMP shareholders in particular, and there is still the risk of further downside. Mr Gillham says it's possible that the market has now factored in the negative news about company profits and findings from the royal commission. "How it behaves in the last quarter of 2018 will shed light on its direction in 2019," says Mr Gillham...

With stable earnings and as a company more than double the size of its competitor, Gillham said Woolworths shares are certainly worth buying if investors are looking for exposure to a large retailer. Not only is the stock suitable for a broad range of portfolios, the supermarket giant also tends to be an "early mover" in terms of rolling out major refurbishment to around 40 stores, Gillham added...

"A savvy investor is never fearful of a market falling," said Dale Gillham, Chief Analyst at Wealth Within. "Rather they embrace them for the opportunities they present." Mr Gillham said he still expects the US market to fall 15 per cent – at one point this week it was down about 9 per cent. But he admitted it could be more dramatic than that. "Given the severity of this week's fall I need to consider it may even go as far as 20 per cent, but it will not crash. "We are now seeing the delayed effects of rising US treasury bonds, interest rate hikes, quantitative tightening and implications of the US-China trade war...