BEST OF THE BROKERS

SWISS RE
Standard & Poor’s Equity Research (S&P) maintains a “sell” rating on Swiss Re, based on its concerns over whether the group’s property and casualty book has been eroded by an aggressive pricing stance. S&P has readjusted forecasts due to an increased allowance for the costs of Swiss Re’s hybrid debt.

TULLOW OIL
Citigroup is expecting a lively second half for Tullow Oil and gives the group a “buy” rating ahead of Tullow’s first-half results, which it reports tomorrow. Citi said that it forecasts that Tullow will report a $60m profit, which is six per cent ahead of consensus, on earnings before interest and tax of $119m.

DANA PETROLEUM
Morgan Stanley has downgraded Dana Petroleum to “equal-weight” and increased its price target by 24 per cent to 1,800p bringing it in line with the announced cash offer by KNOC. Morgan Stanley expects share price performance in the immediate future to be driven by M&A scenarios and sees better risk-reward at Dana’s rivals.