Daily FNArena News - Australia

Not mortgage securities again? Yes – but this time in the far less risky form of covered bonds, which will reduce the banks’ reliance on expensive offshore funding.

Southern Cross Equities expects favourable clinical trial results from anti-viral drug developer Biotron.

DJ Carmiachael has lifted earnings forecasts for MACA post the interim result. The stockbroker continues to see earnings risk to the upside.

While Fleetwood should post solid earnings growth the trouble is a lack of leverage to the Australian resources boom.

The market is worried about Shell selling down its Woodside stake, and is not pricing in any value for Browse or Sunrise. But one broker can see a positive solution emerging.

Recent share price weakness has improved value in the Australian REIT sector, with residential developers the preferred exposure.

Brokers are impressed with ANZ’s strategy update and have been upgrading bank ratings in general given the recent market sell-off.

DJ Carmichael anticipates a re-rating for junior copper explorer Hot Chili.

The rate of stock rating upgrades from Australian brokers picked up to a frenetic pace this morning. Clearly analysts are looking at value beyond the disaster.

Analysts debate as to whether the Japanese earthquake is the last straw to force higher global catastrophe premiums, from which QBE would be a beneficiary.