Daily FNArena News - FYI

JP Morgan’s rating on St George Bank is a good lesson for less experienced investors.

The world was afraid a nasty CPI would automatically trigger another rate rise from a hawkish Fed, but sighs of relief were heard when Bernanke finally recognised the slowing effect a high oil price is having on the US economy. Wall Street responded accordingly.

Weekly musings from your editor.

Stephen Koukoulas from TD Securities suggests there is now no chance of a rate cut in New Zealand in 2006, with a further increase possible as inflation continues to strengthen.

The threat of all out war in the Middle East only added to market jitters overnight as high oil prices invoked fears of higher interest rates, economic slowdown and possible recession.

Weekly musings from your editor.

The latest global review has made strategists at Citigroup more positive about share market returns in the US and Europe, less so elsewhere.

A short survey of FN Arena’s data shows most banks are now trading close to twelve month targets.

Credit Suisse has noticed that some of the long-standing rules of equity investment or disinvestment in particular months of the year are being broken.

Morgan Stanley expects the USD to resume its cyclical decline, but expects this to be limited by liquidity driven risk reduction.