Daily FNArena News

A wrap of the day’s activity on the Australian stock market.

Brokers are moving swiftly to downgrade their gold price forecasts and slash share price targets for Australian goldmining stocks.

The PBoC has now calmed China’s money markets, but will last week’s volatile episode ultimately impact further on China’s slowing growth?

Investors should remain careful in their equity exposure, advocates Michael Lombardi.

FNArena’s Treasure Chest reports on money making ideas from stockbrokers and other experts. Merrills has called a contrarian equity Buy signal, Citi notes net global earnings downgrades while Macquarie anticipates a local shift away from yield.

Iron ore is expected to firm a little then soften, rising coal supply is pressuring prices, while the falling AUD is helping domestic miners across the board, although there is little good news for gold.

PFP Wealth’s Tim Price suggests investors are putting too much trust in central bankers’ policies. First deflation and then inflation?

FNArena’s Treasure Chest reports on money making ideas from stockbrokers and other experts. The Reject Shop has been a victim of a weaker market and lower AUD but one broker has upgraded to Buy on strong, defensive earnings growth potential.

The Chartist suggests the AUD could hit support at US$0.85 depending on China, but the picture remain longer term bullish.

Soft term weakness in iron ore may lead to opportunities later in the year, while the lower AUD is helping Aussie miners and maybe the de-rating cycle has ended.