Daily FNArena News

With only a few stocks going ex-dividend next week the focus is squarely on economic data from Australia and the rest of the world.

I knew I was stirring up a hornets’ nest.

TD Securities have gone on record, predicting three 25bp rate cuts in the next three months as the view on the Australian economy darkens.

Danske Bank has further lowered its commodity price forecasts but continues to recommend investors get set as there are some signs of improvement on the horizon.

A promise from China’s Premier Wen Jiabao to maintain 8% GDP growth was well received, but a lack of detail meant the benefit was fleeting.

A few home truths.

Further policy measures are expected in Australia but brokers see growth risks remaining to the downside in coming months.

While the RBA surprised by not cutting, few were taken aback, with the FNArena Snap Shot consensus still calling for an official cash rate of 2.3% by some time this year.

Lihir has joined the ranks of companies raising capital and brokers are broadly positive on the move.

Australian GDP for the December quarter contracted by 0.5%, potentially prompting further stimulus measures in coming months.