1
00:00:06,280 --> 00:00:09,520
Speaker 1: Inflation is back in the Reserve Banks target band, but

2
00:00:09,560 --> 00:00:12,880
Speaker 1: no rate cuts are on the horizon, Negative gearing and

3
00:00:13,039 --> 00:00:16,120
Speaker 1: capital gains tax changes are being looked at yet again,

4
00:00:16,600 --> 00:00:19,800
Speaker 1: and the Treasurer is off to China to repair relations

5
00:00:19,800 --> 00:00:22,799
Speaker 1: with Australia's biggest trading partner. Welcome to Fear and Greed,

6
00:00:22,920 --> 00:00:25,400
Speaker 1: Daily business news for people who make their own decisions.

7
00:00:25,600 --> 00:00:29,240
Speaker 1: It is Thursday, the twenty sixth of September twenty twenty four.

8
00:00:29,520 --> 00:00:32,040
Speaker 1: I'm Michael Thompson and good morning, Adam Lange.

9
00:00:32,320 --> 00:00:34,000
Speaker 2: Good morning, Michael, Adam.

10
00:00:34,040 --> 00:00:37,200
Speaker 1: The main story this morning, CPI was up two point

11
00:00:37,360 --> 00:00:41,040
Speaker 1: seven percent in the twelve months to August, with new

12
00:00:41,120 --> 00:00:43,720
Speaker 1: data showing us that on a headline basis, we are

13
00:00:43,760 --> 00:00:46,640
Speaker 1: back in the Reserve Banks inflation target band of two

14
00:00:46,640 --> 00:00:50,000
Speaker 1: to three percent. But I mean that all sounds terrific,

15
00:00:50,040 --> 00:00:51,960
Speaker 1: doesn't it. But it doesn't look like the RBA is

16
00:00:52,000 --> 00:00:54,120
Speaker 1: going to cut rates anytime soon.

17
00:00:54,520 --> 00:00:56,840
Speaker 2: No, it doesn't, Michael. And it's a really interesting set

18
00:00:56,880 --> 00:00:59,320
Speaker 2: of figures this month because the big downward factor on

19
00:00:59,360 --> 00:01:02,200
Speaker 2: the headline number was, of course, the state and federal

20
00:01:02,240 --> 00:01:05,520
Speaker 2: government's big energy subsidies, and they mean we're paying less

21
00:01:05,520 --> 00:01:10,080
Speaker 2: for our electricity This was largely as expected, as you mentioned, Michael,

22
00:01:10,120 --> 00:01:13,240
Speaker 2: because these are temporary measures, the Reserve Bank of Australia

23
00:01:13,319 --> 00:01:16,360
Speaker 2: tends to look right through those. They're more interested in

24
00:01:16,400 --> 00:01:19,840
Speaker 2: the underlying inflation figures and they strip out temporary and

25
00:01:19,920 --> 00:01:23,840
Speaker 2: volatile items to better understand how inflation is tracking as

26
00:01:23,880 --> 00:01:26,880
Speaker 2: a theme, and on this basis there has been a

27
00:01:26,920 --> 00:01:29,880
Speaker 2: bit of progress. The consumer price index was up three

28
00:01:29,920 --> 00:01:32,640
Speaker 2: point four percent in the twelve months to August. That's

29
00:01:32,680 --> 00:01:35,399
Speaker 2: down from three point eight the month before. Petrol has

30
00:01:35,440 --> 00:01:38,640
Speaker 2: come down to cyclical lows and that is helping. There's

31
00:01:38,680 --> 00:01:41,600
Speaker 2: still little expectation for the Reserve Bank to cut rates

32
00:01:41,640 --> 00:01:44,559
Speaker 2: when it meets next in November, as this is still

33
00:01:44,600 --> 00:01:48,200
Speaker 2: too high for its two to three percent comfort level. However,

34
00:01:48,360 --> 00:01:50,240
Speaker 2: it is the best result we've seen in two and

35
00:01:50,240 --> 00:01:52,880
Speaker 2: a half years, Michael, so that is some good news.

36
00:01:53,160 --> 00:01:56,400
Speaker 2: We know this particular measure of inflation is a lagging indicator,

37
00:01:56,720 --> 00:01:59,720
Speaker 2: meaning it looks at historical data so that observers will

38
00:01:59,800 --> 00:02:02,880
Speaker 2: keep a keen eye on new and forward looking measures.

39
00:02:03,200 --> 00:02:05,720
Speaker 1: I love that whenever you and I do this show together, Adam,

40
00:02:05,720 --> 00:02:09,600
Speaker 1: there is an unspoken battle being waged between us here.

41
00:02:09,680 --> 00:02:12,440
Speaker 1: I am referring to CPI and you take the time

42
00:02:12,720 --> 00:02:16,880
Speaker 1: every single occasion to spell it out. It is consumer

43
00:02:17,040 --> 00:02:19,000
Speaker 1: price Index, it is not CPI.

44
00:02:19,800 --> 00:02:22,520
Speaker 2: Well imagine if you're a new listener, Michael, and these

45
00:02:22,600 --> 00:02:26,760
Speaker 2: world of acronyms and initialisms and abbreviations and slang. I

46
00:02:26,800 --> 00:02:28,760
Speaker 2: want to remove it. It's my personal quest.

47
00:02:29,880 --> 00:02:33,720
Speaker 1: The worst part is I think you're right. It actually

48
00:02:33,840 --> 00:02:37,680
Speaker 1: hurts to admit that. Anyway, Let's move on the government.

49
00:02:37,960 --> 00:02:42,280
Speaker 1: How did the government react to the numbers, because really

50
00:02:42,360 --> 00:02:44,919
Speaker 1: inflation is such a big political story as well.

51
00:02:45,080 --> 00:02:47,079
Speaker 2: Well as you can expect, Michael, it was and there

52
00:02:47,160 --> 00:02:50,160
Speaker 2: was a reaction. Federal Treasurer Jim Chalmers described the drop

53
00:02:50,200 --> 00:02:53,440
Speaker 2: as welcome and encouraging, and it's said that it proves

54
00:02:53,520 --> 00:02:56,519
Speaker 2: that the government's policies are helping the fight against inflation.

55
00:02:56,960 --> 00:02:59,200
Speaker 2: Still they want to see it moderate further and faster

56
00:02:59,320 --> 00:03:02,880
Speaker 2: in quarterly That is very important because the monthly figures

57
00:03:02,880 --> 00:03:06,840
Speaker 2: are more volatile than the quarterly data. Services inflation is

58
00:03:06,919 --> 00:03:10,720
Speaker 2: three times goods inflation and that remains a big challenge.

59
00:03:10,800 --> 00:03:13,760
Speaker 2: The government has come under fire from National's leader David

60
00:03:13,840 --> 00:03:17,160
Speaker 2: little Proud, who said yesterday morning that it was using

61
00:03:17,240 --> 00:03:20,200
Speaker 2: its policies to try and paper over the cracks to

62
00:03:20,320 --> 00:03:22,720
Speaker 2: hoodwink the Reserve Bank into easing rates.

63
00:03:23,280 --> 00:03:26,040
Speaker 1: Coming up after the show, Adam, you have an interview

64
00:03:26,040 --> 00:03:30,160
Speaker 1: today with our resident economist, Stephen Coculus, who always has

65
00:03:31,040 --> 00:03:35,120
Speaker 1: such a brilliant knack for just cutting through everything and

66
00:03:35,160 --> 00:03:38,240
Speaker 1: explaining exactly how we should be interpreting these figures.

67
00:03:38,440 --> 00:03:41,040
Speaker 2: Stephen swims around in this data all the time. He

68
00:03:41,080 --> 00:03:43,840
Speaker 2: knows it so so well, he knows the themes of

69
00:03:43,880 --> 00:03:46,360
Speaker 2: it and what the Reserve Bank's looking at. So I

70
00:03:46,480 --> 00:03:48,600
Speaker 2: find not only his knowledge of the data, but his

71
00:03:48,680 --> 00:03:51,400
Speaker 2: interpretation and analysis just exceptional.

72
00:03:51,560 --> 00:03:53,360
Speaker 1: Yeah, indeed, so stick around for that one. It is

73
00:03:53,400 --> 00:03:56,360
Speaker 1: coming up a little bit later. On local markets, how

74
00:03:56,360 --> 00:03:56,920
Speaker 1: do they perform?

75
00:03:56,960 --> 00:03:59,520
Speaker 2: Yesterday the S and P ASX two hundred closed down

76
00:03:59,640 --> 00:04:02,480
Speaker 2: zero point two percent to eighty one hundred and twenty

77
00:04:02,480 --> 00:04:04,800
Speaker 2: six points, and that was after a pretty volatile day

78
00:04:04,840 --> 00:04:08,280
Speaker 2: of trading. The top performers by quite a stretch were

79
00:04:08,320 --> 00:04:12,000
Speaker 2: metals and mining materials and resources. Champion Iron was a

80
00:04:12,040 --> 00:04:15,640
Speaker 2: top performer, up thirteen point five percent. That's big BHP

81
00:04:15,840 --> 00:04:17,720
Speaker 2: was up three point eight and four to s Q

82
00:04:17,880 --> 00:04:20,680
Speaker 2: Metals was up four point seven percent. Those are big numbers.

83
00:04:21,040 --> 00:04:23,760
Speaker 2: China's Central Bank cut its one year rates on the

84
00:04:23,839 --> 00:04:27,279
Speaker 2: back of a new government stimulus package, and that explained

85
00:04:27,320 --> 00:04:30,680
Speaker 2: some of the optimism, particularly for iron. The falls were

86
00:04:30,680 --> 00:04:34,000
Speaker 2: a mixed bag, with financials leading the declines, followed by

87
00:04:34,000 --> 00:04:36,960
Speaker 2: information technology among the worst performers on the day, with

88
00:04:37,040 --> 00:04:39,839
Speaker 2: the banks led by National Australia Bank, which was down

89
00:04:39,880 --> 00:04:41,000
Speaker 2: two point seven percent.

90
00:04:41,960 --> 00:04:44,760
Speaker 1: Adam, just speaking of the banks, how about Macquarie a

91
00:04:44,920 --> 00:04:46,080
Speaker 1: record fine.

92
00:04:45,800 --> 00:04:49,000
Speaker 2: From ASSEK, Yeah, this was a slap. Michael mcquarie copped

93
00:04:49,000 --> 00:04:51,359
Speaker 2: a four point nine to nine five let's call it

94
00:04:51,440 --> 00:04:54,680
Speaker 2: five million dollar fine by the corporate regulator after it

95
00:04:54,760 --> 00:04:59,080
Speaker 2: found it had failed to catch dodgy electricity futures transactions.

96
00:04:59,320 --> 00:05:02,800
Speaker 2: This involved three clients on about forty occasions in the

97
00:05:02,880 --> 00:05:06,679
Speaker 2: months after the Russia invaded Ukraine. It netted the client's

98
00:05:06,760 --> 00:05:09,680
Speaker 2: twenty three point four million more than they would have

99
00:05:09,720 --> 00:05:12,640
Speaker 2: got from trading within the rules. Their shares ended the

100
00:05:12,680 --> 00:05:15,720
Speaker 2: day flat and just quickly. Katmandu and Rip Curl owner

101
00:05:15,800 --> 00:05:19,360
Speaker 2: KMD Brands has posted an eleven percent drop in sales

102
00:05:19,400 --> 00:05:22,080
Speaker 2: in the financial year twenty three twenty four amid a

103
00:05:22,200 --> 00:05:26,880
Speaker 2: quote challenging sales environment. Their shares fell one point one percent.

104
00:05:26,880 --> 00:05:30,000
Speaker 1: And what's happening in international markets Polenty Michael.

105
00:05:30,080 --> 00:05:33,120
Speaker 2: The Aussie dollar briefly pushed beyond sixty nine US sins

106
00:05:33,200 --> 00:05:36,040
Speaker 2: yesterday on the back of the interest rate differential between

107
00:05:36,040 --> 00:05:38,800
Speaker 2: the local currency and the US dollar. Brent oil and

108
00:05:38,839 --> 00:05:41,320
Speaker 2: goal price as a flat iron ore has come back

109
00:05:41,320 --> 00:05:45,400
Speaker 2: a touch after yesterday's spike, and Bitcoin is trading above

110
00:05:45,720 --> 00:05:49,400
Speaker 2: US sixty four thousand dollars a unit. And moving on

111
00:05:49,440 --> 00:05:52,479
Speaker 2: to Meta, Michael, they had an annual two day Connect

112
00:05:52,560 --> 00:05:56,320
Speaker 2: conference starting today with CEO Mark Zuckerberg due to speak

113
00:05:56,560 --> 00:05:58,919
Speaker 2: the markets are focused on what he says about AI

114
00:05:59,360 --> 00:06:01,080
Speaker 2: and how be used by Meta.

115
00:06:02,160 --> 00:06:04,839
Speaker 1: Adam, a quick mention if I may as well, I

116
00:06:04,880 --> 00:06:08,479
Speaker 1: know that the Meta conference today is very important. Also

117
00:06:08,720 --> 00:06:12,440
Speaker 1: very important, I would say equally important is the fact

118
00:06:12,440 --> 00:06:16,120
Speaker 1: that there is a new episode of our new podcast,

119
00:06:16,320 --> 00:06:19,359
Speaker 1: the Property Pendulum, brought to you by Domain and Fear

120
00:06:19,400 --> 00:06:22,520
Speaker 1: and Greed, which is the podcast that tells you which

121
00:06:22,560 --> 00:06:25,440
Speaker 1: way the property market is swinging and how to make

122
00:06:25,480 --> 00:06:27,320
Speaker 1: the most of it. And Adam, I know that you

123
00:06:28,000 --> 00:06:30,240
Speaker 1: will be very excited to hear today's topic. We are

124
00:06:30,240 --> 00:06:35,280
Speaker 1: talking about auctions. We are basically it is spectator sport.

125
00:06:35,600 --> 00:06:38,800
Speaker 1: Oh yeah, the Bidder's Guide to Winning at auction because

126
00:06:38,839 --> 00:06:40,640
Speaker 1: obviously auctions can be.

127
00:06:40,800 --> 00:06:44,120
Speaker 2: Cauldron Michael, Oh, it is an arena, it is.

128
00:06:44,279 --> 00:06:45,320
Speaker 1: It can be fierce.

129
00:06:45,560 --> 00:06:49,120
Speaker 2: Have you done it? Yes? Yes? God? How much pressure?

130
00:06:49,360 --> 00:06:51,520
Speaker 1: It is both terrifying and exhilarating.

131
00:06:51,680 --> 00:06:54,080
Speaker 2: Yes, I agree it is. And that's even if you're

132
00:06:54,120 --> 00:06:54,599
Speaker 2: not bidding.

133
00:06:55,279 --> 00:06:57,599
Speaker 1: Yeah, even if you're just the spectator, it is. It

134
00:06:57,680 --> 00:07:00,840
Speaker 1: is terrifying and exhilarating. But if you are bidding, there

135
00:07:00,839 --> 00:07:04,040
Speaker 1: are all these questions. Should you open the bidding? Do

136
00:07:04,120 --> 00:07:06,200
Speaker 1: you kind of where do you stand? Do you stand

137
00:07:06,279 --> 00:07:08,000
Speaker 1: right in front of the auctioneer or do you stand

138
00:07:08,320 --> 00:07:10,040
Speaker 1: on the site or do you stand at the back

139
00:07:10,040 --> 00:07:12,080
Speaker 1: of the room so that you can see everyone else

140
00:07:12,120 --> 00:07:15,120
Speaker 1: who's bidding? How big are your bid increments? Kind of

141
00:07:15,120 --> 00:07:16,680
Speaker 1: what happens if the property passes in?

142
00:07:16,760 --> 00:07:18,400
Speaker 2: Do you get someone else to do it for you?

143
00:07:18,920 --> 00:07:21,040
Speaker 1: Absolutely, we go through all of this. So this is

144
00:07:21,600 --> 00:07:24,680
Speaker 1: Alice Stoltz and i Ali Stults, the National Property editor

145
00:07:24,800 --> 00:07:28,760
Speaker 1: at Domain, and we go through everything. And obviously Alice

146
00:07:28,840 --> 00:07:31,840
Speaker 1: knows this space so so well because she has been

147
00:07:31,840 --> 00:07:34,960
Speaker 1: doing it for so long and just I would say

148
00:07:35,040 --> 00:07:39,240
Speaker 1: Australia's foremost expert on all things properties, so enough about that.

149
00:07:39,360 --> 00:07:41,320
Speaker 1: I could rab it on about it all day. I'll

150
00:07:41,360 --> 00:07:43,320
Speaker 1: put a link in today's show notes to the new

151
00:07:43,360 --> 00:07:45,520
Speaker 1: episode of The Property Pendulum, which you can also find

152
00:07:45,560 --> 00:07:47,120
Speaker 1: wherever you listen to podcasts.

153
00:07:47,440 --> 00:07:49,880
Speaker 2: Nice work, Michael, I'm looking forward to it, Adam.

154
00:07:50,040 --> 00:07:52,640
Speaker 1: We will take a quick break, I will catch my breath,

155
00:07:52,640 --> 00:07:54,240
Speaker 1: and we'll be back in a moment with the rest

156
00:07:54,280 --> 00:08:04,080
Speaker 1: of the day's business news, Adam. Federal officials have started

157
00:08:04,120 --> 00:08:08,360
Speaker 1: work on options to scale back negative gearing and capital

158
00:08:08,360 --> 00:08:12,239
Speaker 1: gains tax concessions, and have started work on a major

159
00:08:12,320 --> 00:08:15,640
Speaker 1: new housing policy ahead of the next federal election. I

160
00:08:15,680 --> 00:08:17,840
Speaker 1: know this is music to your ears because it sounds

161
00:08:17,880 --> 00:08:18,560
Speaker 1: like reform.

162
00:08:20,000 --> 00:08:23,440
Speaker 2: It smells like reform, Michael. And I must give tribute

163
00:08:23,480 --> 00:08:26,840
Speaker 2: to Sean Aylmer's Fear and Green newsletter yesterday too, because

164
00:08:27,440 --> 00:08:30,200
Speaker 2: the way he put it about flying political kites and

165
00:08:30,240 --> 00:08:33,679
Speaker 2: seeing what's happening. I think that's very interesting here, and

166
00:08:33,720 --> 00:08:35,840
Speaker 2: make your own mind up as you listen to this story.

167
00:08:36,080 --> 00:08:39,160
Speaker 2: The Albanezi government refused to confirm reports in the Nine

168
00:08:39,200 --> 00:08:43,079
Speaker 2: newspapers that he had directly asked Treasury for expert advice

169
00:08:43,400 --> 00:08:46,840
Speaker 2: on the possible changes. After years of dispute, over billions

170
00:08:46,880 --> 00:08:50,600
Speaker 2: of dollars in annual tax benefits. However, it did confirm

171
00:08:50,640 --> 00:08:53,520
Speaker 2: that the Department was undertaking some work on these issues.

172
00:08:53,760 --> 00:08:56,280
Speaker 2: It's likely to become a major political issue, with the

173
00:08:56,280 --> 00:09:00,280
Speaker 2: Coalition warning against any changes and the Greens demanding an

174
00:09:00,400 --> 00:09:03,560
Speaker 2: end to the many tax breaks. Earlier this year, Federal

175
00:09:03,600 --> 00:09:07,880
Speaker 2: Treasurer Jim Chalmers flagged a public conversation about two hundred

176
00:09:07,880 --> 00:09:11,359
Speaker 2: and fifty billion dollars of anual tax concessions, and analysts

177
00:09:11,360 --> 00:09:15,280
Speaker 2: have estimated that overhauling Australia's capital gains tax system could

178
00:09:15,280 --> 00:09:19,880
Speaker 2: improve the budget by five billion dollars annually. But we know, Michael,

179
00:09:19,920 --> 00:09:23,400
Speaker 2: that this is political dynamite. The report yesterday morning triggered

180
00:09:23,400 --> 00:09:26,320
Speaker 2: an immediate reaction from Liberal Center to Jane Hume, who

181
00:09:26,360 --> 00:09:29,600
Speaker 2: accused the government of lying to the Australian people. Shadow

182
00:09:29,640 --> 00:09:32,680
Speaker 2: Treasurer Angus Taylor criticized the government for wanting a tax

183
00:09:32,760 --> 00:09:37,360
Speaker 2: on housing, but Charmers was brushing off the speculation yesterday afternoon,

184
00:09:37,600 --> 00:09:40,680
Speaker 2: saying the government has a property policy and that's not

185
00:09:40,840 --> 00:09:43,680
Speaker 2: in it, adding it wasn't unusual for the government to

186
00:09:43,720 --> 00:09:48,280
Speaker 2: get advice about issues that have been speculated on from departments.

187
00:09:48,240 --> 00:09:51,280
Speaker 1: And just sticking with the topic of Jim Chalmers for

188
00:09:51,320 --> 00:09:54,200
Speaker 1: a moment. The Treasurer is heading to China today for

189
00:09:54,240 --> 00:09:58,280
Speaker 1: a series of pretty high stakes meetings really with key

190
00:09:58,320 --> 00:10:04,319
Speaker 1: counterparts at Australia's major trading partner in a two day blitz. Adam, Yeah, Michael, And.

191
00:10:04,280 --> 00:10:06,480
Speaker 2: This is a bit of a first because it's the

192
00:10:06,480 --> 00:10:09,240
Speaker 2: first time an Australian Treasurer has been to China in

193
00:10:09,400 --> 00:10:11,959
Speaker 2: seven years, and it's at a time when the Chinese

194
00:10:12,000 --> 00:10:15,120
Speaker 2: economy is sputtering a bit and there's market concerns about

195
00:10:15,120 --> 00:10:18,360
Speaker 2: the effect on other economies and that is including our own.

196
00:10:18,800 --> 00:10:21,440
Speaker 2: Chalmers said at a press conference yesterday that the meetings

197
00:10:21,480 --> 00:10:25,160
Speaker 2: would be an important step towards stabilizing the relationship and

198
00:10:25,240 --> 00:10:29,439
Speaker 2: re establishing dialogues with Beijing. He's co chairing the Australia

199
00:10:29,600 --> 00:10:33,760
Speaker 2: China Strategic Economic Dialogue later today and he told media

200
00:10:33,800 --> 00:10:37,360
Speaker 2: he's consulted with a raft of chairs, CEOs and senior

201
00:10:37,400 --> 00:10:41,400
Speaker 2: executives at Australian businesses and institutions with major links to

202
00:10:41,480 --> 00:10:44,880
Speaker 2: China ahead of this trip, and they include Rio, Tinto,

203
00:10:44,960 --> 00:10:50,400
Speaker 2: West Farmers, BHP, Fortes, q KWM Cochlear, Sydney Airport, Grain, Corp,

204
00:10:50,800 --> 00:10:53,160
Speaker 2: the University of New South Wales and the Business Council

205
00:10:53,240 --> 00:10:56,280
Speaker 2: of Australia. That's quite a good sample, I think, Michael.

206
00:10:56,360 --> 00:10:58,640
Speaker 1: That certainly is. I will just point out the fact

207
00:10:58,679 --> 00:11:02,240
Speaker 1: that you didn't spell out what CEO stands for, even

208
00:11:02,280 --> 00:11:02,679
Speaker 1: though you.

209
00:11:03,800 --> 00:11:07,199
Speaker 2: My apologies everyone, chief executive officers, Oh thank you.

210
00:11:07,240 --> 00:11:09,559
Speaker 1: I just wouldn't want you to be inconsistent.

211
00:11:10,000 --> 00:11:11,720
Speaker 2: Adam, thank you for keeping v and lyme.

212
00:11:12,200 --> 00:11:15,320
Speaker 1: That's one of my main purposes, my main reasons for living.

213
00:11:16,320 --> 00:11:21,120
Speaker 1: Billionaire Solomon Lou's Premier Investments will postpone its planned January

214
00:11:21,160 --> 00:11:24,880
Speaker 1: de merger of its kids stationary brand Smiggle, as it

215
00:11:24,920 --> 00:11:27,560
Speaker 1: focuses on a deal to sell its retail apparel brands

216
00:11:27,559 --> 00:11:28,040
Speaker 1: to Meyer.

217
00:11:28,480 --> 00:11:31,120
Speaker 2: Yeah, Michael, the retail giant is pushing ahead with the

218
00:11:31,120 --> 00:11:34,600
Speaker 2: potential spin off of its sleep wear clothing chain Peter Alexander.

219
00:11:34,840 --> 00:11:37,079
Speaker 2: I know that's a favorite brand of yours. It comes

220
00:11:37,080 --> 00:11:41,200
Speaker 2: amid worsening trading conditions for retailers. Premier Investments said that

221
00:11:41,280 --> 00:11:43,840
Speaker 2: while there is still merit in the potential d merger

222
00:11:43,840 --> 00:11:47,920
Speaker 2: of Smiggle and Peter Alexander, the board was instead prioritizing

223
00:11:47,960 --> 00:11:51,040
Speaker 2: a deal with Meyer. You know. Trading update Premier sales

224
00:11:51,080 --> 00:11:53,320
Speaker 2: have fallen three point five percent for the start to

225
00:11:53,320 --> 00:11:57,120
Speaker 2: fiscal twenty twenty five, Smiggle suffered a seven point four

226
00:11:57,160 --> 00:12:00,880
Speaker 2: percent drop. Premier Investments posted a net of two hundred

227
00:12:00,880 --> 00:12:03,120
Speaker 2: and fifty eight million for the twelve months to the

228
00:12:03,160 --> 00:12:06,120
Speaker 2: twenty seventh of July, and that was down five percent

229
00:12:06,240 --> 00:12:09,120
Speaker 2: from last year. Its share price fell nine point one

230
00:12:09,160 --> 00:12:11,520
Speaker 2: percent and it was one of the worst performers of

231
00:12:11,559 --> 00:12:11,920
Speaker 2: the day.

232
00:12:12,559 --> 00:12:15,440
Speaker 1: This is an interesting one. Adam Fortescue Metals will pay

233
00:12:15,480 --> 00:12:18,240
Speaker 1: two point eight billion dollars to replace two thirds of

234
00:12:18,280 --> 00:12:21,480
Speaker 1: its fleet of haulage trucks and equipment in Western Australia

235
00:12:21,520 --> 00:12:25,160
Speaker 1: with electric versions as it seeks to cut diesel consumption

236
00:12:25,679 --> 00:12:29,480
Speaker 1: and meet some pretty ambitious emissions reduction targets.

237
00:12:29,080 --> 00:12:31,640
Speaker 2: Here Mike all part of greening the economy. The miner

238
00:12:31,679 --> 00:12:35,439
Speaker 2: will buy four hundred and seventy five emissions free machines,

239
00:12:35,760 --> 00:12:39,600
Speaker 2: and this includes three hundred and sixty autonomous battery electric trucks.

240
00:12:40,320 --> 00:12:43,280
Speaker 2: They'll be bought from Germany's liber Group. According to Bloomberg,

241
00:12:43,640 --> 00:12:46,800
Speaker 2: the fleet will serve as Fortescue's sprawling iron ore operations

242
00:12:46,800 --> 00:12:50,599
Speaker 2: in the Pilbra Perth based Fortescue has plans to decarbonize

243
00:12:50,640 --> 00:12:53,800
Speaker 2: its iron ore mining operations by twenty thirty, but it

244
00:12:53,920 --> 00:12:57,040
Speaker 2: is a challenge. Fortescue consumed six hundred and thirty one

245
00:12:57,120 --> 00:13:00,720
Speaker 2: million liters of diesel last financial year alone emissions from

246
00:13:00,800 --> 00:13:04,600
Speaker 2: stationary energy, which includes emissions from direct combustion of fuels

247
00:13:04,640 --> 00:13:07,680
Speaker 2: in mining, that accounts for more than twenty percent of

248
00:13:07,720 --> 00:13:11,640
Speaker 2: Australia's air pollution according to the government, and earlier this month,

249
00:13:11,679 --> 00:13:14,240
Speaker 2: Michael Rio Tinto announced it would plant seven hundred and

250
00:13:14,280 --> 00:13:18,640
Speaker 2: fifty thousand trees and test biofuels as a replacement for diesel.

251
00:13:19,160 --> 00:13:21,400
Speaker 1: That is indeed a lot of trees. Adam now the

252
00:13:21,520 --> 00:13:25,840
Speaker 1: nation's top research universities and private and vocational providers have

253
00:13:25,920 --> 00:13:30,400
Speaker 1: been hit hardest by Labour's push to cut international student numbers,

254
00:13:30,480 --> 00:13:35,000
Speaker 1: while some regional institutions have actually had their allocations increased.

255
00:13:35,480 --> 00:13:38,520
Speaker 2: Here, Michael, the education industry is huge in our country.

256
00:13:38,600 --> 00:13:42,240
Speaker 2: Vocational education and training providers will have their numbers cut

257
00:13:42,280 --> 00:13:44,880
Speaker 2: by thirty two percent as part of the federal government's

258
00:13:44,920 --> 00:13:48,360
Speaker 2: effort to limit international student numbers to two hundred and

259
00:13:48,360 --> 00:13:51,800
Speaker 2: seventy thousand next year. Data tabled in the Senate shows

260
00:13:51,800 --> 00:13:55,880
Speaker 2: that private universities and non university higher education providers will

261
00:13:55,920 --> 00:13:59,120
Speaker 2: have their number cut by twenty six percent overall compared

262
00:13:59,120 --> 00:14:01,880
Speaker 2: with this year. The group of eight universities will have

263
00:14:01,920 --> 00:14:05,200
Speaker 2: their allocation cut to fifty seven nine hundred and fifty

264
00:14:05,240 --> 00:14:08,000
Speaker 2: and that's about twenty eight percent, according to report in

265
00:14:08,040 --> 00:14:11,880
Speaker 2: The Australian. The data also demonstrated the government's effort to

266
00:14:11,920 --> 00:14:16,319
Speaker 2: boost international student enrollments outside major cities to free up

267
00:14:16,360 --> 00:14:21,600
Speaker 2: housing supply, with Regional Universities Network allocated seventy six percent

268
00:14:21,680 --> 00:14:26,160
Speaker 2: more places than this year. Every regional university was granted

269
00:14:26,160 --> 00:14:29,280
Speaker 2: a higher cap than its level of twenty twenty four commencements,

270
00:14:29,520 --> 00:14:32,520
Speaker 2: with Charles Sturt University, based in regional New South Wales

271
00:14:32,800 --> 00:14:36,160
Speaker 2: receiving a cap of one thousand students after it enrolled

272
00:14:36,160 --> 00:14:39,040
Speaker 2: only three hundred and forty three students in twenty twenty four.

273
00:14:39,360 --> 00:14:42,360
Speaker 2: That's marking a one hundred and ninety two percent increase.

274
00:14:42,920 --> 00:14:46,320
Speaker 1: Okay, turning to international news now, and Donald Trump has

275
00:14:46,360 --> 00:14:49,400
Speaker 1: warned US trading partners that they would be quote losing

276
00:14:49,440 --> 00:14:52,560
Speaker 1: their jobs to America if he wins a second term

277
00:14:52,640 --> 00:14:55,640
Speaker 1: in the White House, as he promised a new American

278
00:14:55,760 --> 00:14:57,520
Speaker 1: industrialism under his watch.

279
00:14:58,200 --> 00:15:01,720
Speaker 2: Yeah, Michael, it's a big domestic pitch. Mister Trump's version

280
00:15:01,760 --> 00:15:04,920
Speaker 2: of US industrial policy is centered on a promise to

281
00:15:04,960 --> 00:15:08,320
Speaker 2: cut taxes for companies that manufacture in America and impose

282
00:15:08,440 --> 00:15:11,040
Speaker 2: tariffs on those that do not. He said, vote for

283
00:15:11,080 --> 00:15:13,800
Speaker 2: Trump and you will see a mass exodus of manufacturing

284
00:15:13,800 --> 00:15:17,920
Speaker 2: from China to Pennsylvania, from Korea to North Carolina, from

285
00:15:18,000 --> 00:15:21,480
Speaker 2: Germany to right here in Georgia. His push on foreign

286
00:15:21,480 --> 00:15:24,680
Speaker 2: investment comes as Democrats warn that his plans to gut

287
00:15:24,720 --> 00:15:29,040
Speaker 2: the clean energy subsidies from Biden's Inflation Reduction Act would

288
00:15:29,080 --> 00:15:33,080
Speaker 2: damage a recovery underway in industrial America. That act is

289
00:15:33,160 --> 00:15:35,960
Speaker 2: particularly relevant to us here in Australia. Many of our

290
00:15:36,040 --> 00:15:39,720
Speaker 2: companies are in the critical mineral supply chain, with some

291
00:15:39,800 --> 00:15:42,960
Speaker 2: ASX listed organizations already benefiting from it.

292
00:15:43,480 --> 00:15:47,840
Speaker 1: Finally, Adam the new British Prime Minister, Keir Starmer, who's

293
00:15:47,880 --> 00:15:50,720
Speaker 1: only been in the job for two and a half months.

294
00:15:50,720 --> 00:15:53,200
Speaker 1: He was appointed Prime Minister on the fifth of July

295
00:15:53,520 --> 00:15:57,840
Speaker 1: this year, but he is already earning a reputation for gaffes,

296
00:15:58,080 --> 00:16:01,840
Speaker 1: including a particularly horrific way one in the last few days,

297
00:16:02,240 --> 00:16:05,680
Speaker 1: when he referred to Israeli hostages as sausages.

298
00:16:06,440 --> 00:16:10,240
Speaker 2: Yes. In a speech to Labour's annual party conference, Sakia

299
00:16:10,560 --> 00:16:14,160
Speaker 2: misread his script, unfortunately, which called for the return of

300
00:16:14,240 --> 00:16:17,320
Speaker 2: Israeli hostages. He said, I call again from an immediate

301
00:16:17,360 --> 00:16:21,480
Speaker 2: Ceasefi and Gaza, the return of the sausages, the hostages,

302
00:16:21,760 --> 00:16:25,720
Speaker 2: and a recommitment to the two States solution dot dot dot, Michael,

303
00:16:25,760 --> 00:16:27,840
Speaker 2: as you said, he was only elected on the fifth

304
00:16:27,840 --> 00:16:30,600
Speaker 2: of July, so the honeymoon for Sekia was short, and

305
00:16:30,720 --> 00:16:33,360
Speaker 2: in recent weeks he and his ministers have tried to

306
00:16:33,400 --> 00:16:37,440
Speaker 2: fend off repeated questions about lavish gifts and hospitality he

307
00:16:37,480 --> 00:16:41,200
Speaker 2: has accepted in the past year, including football freebies and

308
00:16:41,280 --> 00:16:44,240
Speaker 2: money to smarten up his wardrobe and that of his wife.

309
00:16:44,600 --> 00:16:48,320
Speaker 2: Although Labour still polls ahead of the Conservative Party, Saka's

310
00:16:48,440 --> 00:16:53,280
Speaker 2: personal popularity has dived forty five points since July. In

311
00:16:53,320 --> 00:16:55,960
Speaker 2: an opinion poll released on Sunday, he scored a net

312
00:16:56,000 --> 00:16:58,920
Speaker 2: approval rating of minus twenty six percent.

313
00:17:00,160 --> 00:17:02,960
Speaker 1: Off to a pretty rough start there, all right. Up

314
00:17:03,000 --> 00:17:07,280
Speaker 1: next is two pieces of great listening this morning. First

315
00:17:07,440 --> 00:17:09,639
Speaker 1: is the new episode of the Property Pendulum, brought to

316
00:17:09,640 --> 00:17:12,600
Speaker 1: you by Fear and Greed and Domain, all about auctions

317
00:17:12,640 --> 00:17:14,800
Speaker 1: how to bid at them? A bunch of different strategies

318
00:17:15,320 --> 00:17:18,119
Speaker 1: on how to set yourself up for success at an

319
00:17:18,119 --> 00:17:22,199
Speaker 1: auction regardless of what the market is doing, because it

320
00:17:22,280 --> 00:17:24,800
Speaker 1: really does affect the way you were going to bid

321
00:17:24,840 --> 00:17:27,679
Speaker 1: at auction. So check that one out. Next after that,

322
00:17:28,359 --> 00:17:32,000
Speaker 1: Fear and Greed's resident economist, Stephen Couldcoolus weighs in on

323
00:17:32,080 --> 00:17:34,919
Speaker 1: the inflation data, interest rates, all of it. There is

324
00:17:35,000 --> 00:17:37,640
Speaker 1: so much good listening and the Fear and Greed playlist

325
00:17:38,160 --> 00:17:42,520
Speaker 1: you will be spoiled for choice, Adam, enjoy it all, indeed,

326
00:17:42,520 --> 00:17:43,959
Speaker 1: Thank you very much, Adam, Thank you.

327
00:17:44,040 --> 00:17:44,359
Speaker 2: Michael.

328
00:17:44,640 --> 00:17:47,720
Speaker 1: It is Thursday, the twenty sixth of September twenty twenty four.

329
00:17:47,920 --> 00:17:50,000
Speaker 1: Make sure you're following the podcast and please join us

330
00:17:50,040 --> 00:17:54,160
Speaker 1: online on LinkedIn, Instagram, x TikTok and Facebook. I'm Michael

331
00:17:54,200 --> 00:17:59,080
Speaker 1: Thompson and that was Fear and Greed. Have a great day.