Daily FNArena News - Australia

Less than one fifth of Australian companies have reported to date but the early signs are relatively disappointing, brokers have decided.

Myer recorded a mixed 4Q sales result but lifted earnings guidance for the full year, the result being brokers remain generally positive on the outlook for the stock.

This week’s banks results have convinced brokers the earnings bounce once expected in FY11 will now be an FY12 story – hopefully.

A snapshot of economist responses to today’s Australian employment data for July, where jobs again increased but the unemployment rate also rose thanks to a higher participation rate.

Phosphagenics is trying to develop an anti-fat drug delivered via the skin, which if successful would offer significant upside according to Southern Cross Equities.

National Australia Bank’s Australian Commerical Property Survey for the June quarter showed a weakening in conditions and a pushing out of expectations for a turnaround.

Commonwealth Bank economists believe the global economy is recovering as it should from such a significant financial crisis and there is no need to fear a return to recession.

Oakton delivered a solid full year earnings result, one that leads brokers to suggest the group’s turnaround is continuing.

NAB economists were surprised to see business confidence fall in July given the MRRT resolution and are concerned by a fall in new orders.

Deutsche suggests the reporting season offers upside for Industrial stocks while DJ Carmichael argues construction has a quiet year ahead. Merrill Lynch chimes in.