"We move our sector call on Consumer Discretionary to Overweight. The household income pool has grown in FY13 thanks to monetary and fiscal policy, far outweighing cost-of-living increases. Stabilising house prices should be the key to improving consumer sentiment, the critical link to higher spending”, RBS said.
Subsequently, the broker has upgraded both Myer (MYR) and Harvey Norman (HVN) to outperform from neutral and David Jones (DJS) to neutral from underperform.
Source - Iress