When I type mysql dbname at the bash prompt, I automatically connect to the database dbname with the username, password, and host information included in my .my.cnf file.
When I use M-x sql-mysql in emacs, I am asked for all of this information again.
Is there a way that I can get emacs sql mode to use the information in my .my.cnf file?
I don't think that this is possible but you can set such stuff in the mode configuration itself:
Have a look at this article for more info.