i was going to say netcat, but you could also do expect or perl.
do you want it to read real time, or just a one time process? i have a perl script that tails a file and writes the updates somewhere else if you'd like it.
Most implementations telnet doesn't read from stdin. Also the way you have the code written, the file will be created on the system you are telneting to, not the one you are telneting from.
Easiest way on a modern unix box is to use ssh. (Should be included) and do something like this:
_____________________
#!/bin/ksh -x
echo "
cd /export/home/scripts/daily_checks
head daily_check_report.txt
" | ssh absdpb2 > test160108.txt
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If you add yourself to the authorized_keys on absdpb2 you won't even have to answer the userid and password question.
If ssh is not an option, then use the open source package expect. Google expect or "expect tcl" to learn more.