A roundup of what the Globe and Mail's market strategist Scott Barlow is reading this morning on the world wide web.
The health-care sector is on fire while the China/commodities investment story continues its slow implosion.
Pfizer Inc. announced its intention to bid for AstraZeneca Plc in a deal Reuters estimates could top $100-billion (U.S.). This follows a 10-day period where GlaxoSmithKline PLC and Novartis AG announced an asset swap worth almost $50-billion and orthopedic specialist Zimmer Holdings Inc. agreed to purchase rival Biomet Inc. for $13.4-billion in cash and prizes.
The Chinese government announced a crackdown on "iron ore as financial collateral" in a move that threatens to further reduce demand for the commodity. In separate news, an excellent post by the Peterson Institute's Nicholas Borst predicts the economic ripple effects of a slower real estate market on China's economy.
Read of the weekend is from hedge fund manager Conor Sen with a tremendous overview of market sector rotation and growth versus value.
Pfizer chasing AstraZeneca in potential $100 bln deal - Reuters
U.S. Pfizer takeover bid for U.K. rival AstraZeneca would be one of the global drugs industry's biggest deals – BBC
China crackdown on iron ore import loans - FT
On the intriguing drop in commodity price correlation – FT Alphaville
How vulnerable are Chinese banks to a real estate downturn? – Nicholas Borst, Peterson Institute
Strategy: The transition from a risk premium reduction market to a growth market – Conor Sen
Diversion: You want to see what happens when a giant engine is stuffed in a Smart car for general drag racing purposes? Of course you do. - Top Gear