Daily FNArena News - Australia

Last week’s quarterly report showed challenges remain for Iluka and in the view of RBC Capital Markets there is still little value in the stock despite it falling 28% in recent months.

Citi is positive on the uranium sector and following a review has initiated coverage on both ERA and Paladin with Buy ratings.

Mineral sands group Iluka posted a solid December quarter production result but with costs and falling zircon prices still challenges to be overcome opinions remain divided on the stock.

Australian Pharmaceutical Industries is not exactly flavour of the month for investors but as with Deutsche Bank last month Southern Cross Equities sees value in the stock at current levels.

Uranium producer Energy Resources of Australia had a tough start to 2007 but came home much stronger and upward revisions to earnings estimates has a number of brokers rating the shares as a Buy.

In line with what one would have expected, consumer confidence in Australia has fallen markedly in January.

Intersuisse rates AJ Lucas as a buy as the company’s core infrastructure services operations should continue to deliver strong growth and yesterday’s Sydney Gas deal adds some blue sky.

Ongoing uncertainties in global credit markets and the flow through earnings impact on equities are likely to bring defensive stocks bank into favour, with broker Intersuisse suggesting CSL is a suitable play.

ANZ’s monthly survey shows job ads in December surged to a seven month high.

The TD Securities/Melbourne Institute Monthly Inflation Gauge for December again surprised to the upside.