1. Another surprise rally for stocks

Interest rates are important for share prices but so are company earnings. While it’s early days for the US reporting season (they have four a year, while we have two), the news has been good enough to help the Dow Jones Industrial Average put on 550.99 points (or 1.86%) to close at 30,185.82. The S&P 500 spiked 2.65% to 3,677.95, while the tech heavy Nasdaq Composite wacked on 3.43%! As CNBC pointed out, that was “its best day since July, finishing at 10,675.80.”

2. Local stocks look set for a good day

The futures for the S&P/ASX 200 Index (or SPI) is telling us that our market will open on the up, with a 57-point gain expected. The market will be watching what the RBA Deputy Governor Michele Bullock has to say about interest rates and inflation at a speech for The Australian Finance Industry Association today. Also the latest RBA minutes are released from the last interest rate rise earlier this month.

3. Bad news for diesel drivers

CommSec’s Craig James gave us the latest petrol price news yesterday. This is what he revealed: “According to the Australian Institute of Petroleum, last week the average Australian pump price for unleaded fell by 3.9 cents a litre to 178.6 cents a litre (wholesale price 173.1 c/l). By contrast, the national average diesel price rose by 11.4 cents per litre to 222.5 cents a litre (wholesale price 220.1c/l).” Why is this so? This is what abc.net.au says: “Diesel prices increased by more than petrol due to various factors including higher demand because of the COVID-19 economic recovery and fewer supplies from Russia.”

4. Medicare rorts look sickening

The SMH, The Age and the ABC have looked into doctors bulk billing practices and the results will make some GPs feel very ill. Adele Ferguson and Chris Gillett report that: “Systemic rorting of Medicare is artificially inflating official statistics that claim almost nine out of 10 patients are bulk billed by their doctor and don’t pay any out-of-pocket costs.” They further claim that “some experts are convinced that the bulk-billing rate is far lower: about four to six in every 10 visits to GPs.”

It comes as “…GPs lobby the government to boost bulk-billing rebates, claiming bulk billing is in crisis and they can no longer afford to offer it unless the Medicare rebate is increased.”

5. Magellan navigating a new path

Is this Hamish Douglas Mk II? The Australian reports that “Magellan Financial has made redundant senior portfolio managers and around 10 investment-related staff as it overhauls its business.” Plus, “the funds management group on Monday said David George, its chief executive, had also been appointed chief investment officer, formalising the full takeover of responsibilities held by its former chairman Hamish Douglass.” When Magellan flew high with a share price of $65 in 2020, Douglas had both roles but he, unlike the explorer his company is named after, lost his way and the share price is now $10.75.