Friday, 24 August, 2007 - Update

I'm getting so busy with college now that I've found some new products to play in the market.

Firstly here are my positions:

Rio Tinto - $91, $81 - I believe Rio has made a very good move in taking Alcan. Aluminum has been much more stable than other metals so I expect the cash it will make from the metal will be consistent, and also the fact that Aluminum has not boomed as much as Copper, Nickel, Lead, Zinc or Uranium have. Good move by Rio, LONG TERM BUY

Caltex - $22.80, $23.80 - Caltex is a great company, very transparent, I fill my fuel up from it all the time, and its backed by Woolworths. It reported a 46% jump in profit today which obviously assures me its still making money, its also been holding at the $23 level quite well, and I believe that like Santos (STO) it will rally to $28 in the coming months, as well as being a cash generating machine. LONG TERM BUY

Babcock and Brown - $22.50 BNB has very little exposure to the sub-prime, and sub-prime was a balloney excuse to dump financial stocks which have done very well anyway. I bought into it as it kept falling. BNB profit surged by 65% as well as giving an improved outlook, if it falls more I'll simply buy, and same if it rises past key resistance levels.