Daily FNArena News

After a couple of years of being considered a value stock, Merrill Lynch believes AGL is more of a growth story. Shareholders should enjoy upside in time.

The bounce in equity markets has affected an easing in volatility and risk measures which should be beneficial for the Aussie, say ANZ’s currency strategists.

Inflation won’t grow into a problem, but the RBA is nevertheless expected to raise interest rates once more – to slow down credit growth.

Have the market fundamentals changed for Japanese equities? No, says NikkoCitigroup. Over at JP Morgan strategist Kitano is not so sure.

A share market down 12% and a decelerating domestic economy. Singapore doesn’t look an attractive opportunity, but Citigroup believes things won’t turn out as bad as they appear.

In Citigroup’s view, Australia’s telcos are switching their focus to data services and mobile content in a bid a balance out lost voice revenues.

India’s economic importance is clearly on the up and ANZ says opportunities abound for Australia.

The new Fed chairman is going to overdo it, DBS economists believe, expect interest rate cuts in the US in 2007.

HSBC predicts US interest rates will be raised twice this year, but Hong Kong is unlikely to follow suit.

May US CPI was the same as April at 0.3%, but this time the Dow rallied. Australia finally decoupled from the US yesterday, rising in the face of commodity carnage. Base metals were up overnight, as was silver. That just leaves gold.