1 00:00:06,120 --> 00:00:08,960 Speaker 1: Today on Fear and Greed. Australia is heading for a 2 00:00:09,119 --> 00:00:12,120 Speaker 1: decade of budget deficits on the back of big spending 3 00:00:12,160 --> 00:00:16,000 Speaker 1: by governments. The Aussie dollar hits a twelvemonth low, and 4 00:00:16,079 --> 00:00:19,080 Speaker 1: car giants Honda and Nissen are in talks to merge. 5 00:00:19,280 --> 00:00:22,759 Speaker 1: Plus NAB holds its AGM and the ASX set to 6 00:00:22,880 --> 00:00:25,320 Speaker 1: end the year with fewer companies than when it started. 7 00:00:25,680 --> 00:00:28,120 Speaker 1: Welcome to Fear and Greed. Daily business news for people 8 00:00:28,120 --> 00:00:31,240 Speaker 1: who make their own decisions. It is Thursday, the nineteenth 9 00:00:31,360 --> 00:00:34,600 Speaker 1: of December twenty twenty four. Are Michael Thompson and Good Morning, 10 00:00:34,680 --> 00:00:35,400 Speaker 1: Sean Aylmer. 11 00:00:35,680 --> 00:00:37,680 Speaker 2: Good morning Michael, Sean. 12 00:00:37,760 --> 00:00:40,800 Speaker 1: The main story this morning. The federal budget is expected 13 00:00:40,800 --> 00:00:43,320 Speaker 1: to be in deficit for at least a decade, with 14 00:00:43,440 --> 00:00:47,600 Speaker 1: a twenty two billion dollar worsening over the next four 15 00:00:47,680 --> 00:00:50,280 Speaker 1: years due to recent spending decisions. 16 00:00:50,520 --> 00:00:53,080 Speaker 2: That's the bottom line of the midyear economic and Fiscal 17 00:00:53,120 --> 00:00:57,040 Speaker 2: outlook released yesterday by Federal Treasurer Jim Chalmers. The underlying 18 00:00:57,080 --> 00:00:59,400 Speaker 2: deficit this financial year is due to come in at 19 00:00:59,440 --> 00:01:02,080 Speaker 2: twenty seven billion dollars, slightly better than the May forecast 20 00:01:02,120 --> 00:01:05,520 Speaker 2: of twenty eight billion dollars, but then worsen or deepen 21 00:01:05,560 --> 00:01:07,600 Speaker 2: however you want to put it for the next three years. 22 00:01:07,600 --> 00:01:10,200 Speaker 2: In fact, they over the next four years. The deficit 23 00:01:10,280 --> 00:01:13,360 Speaker 2: is forecast to be one hundred and forty four billion dollars. 24 00:01:13,440 --> 00:01:16,000 Speaker 2: That's money we have to pay back at some point 25 00:01:16,040 --> 00:01:20,000 Speaker 2: in the future. Government spending as a percent of GDP 26 00:01:20,240 --> 00:01:23,800 Speaker 2: is forecastingly double next financial year before falling back to 27 00:01:23,840 --> 00:01:27,280 Speaker 2: more normal levels. Dr Chalmers says it reflects changes to 28 00:01:27,480 --> 00:01:30,960 Speaker 2: the pharmaceutical benefit scheme and bulk billing, but it is 29 00:01:31,080 --> 00:01:33,160 Speaker 2: also a target for the opposition and the run up 30 00:01:33,160 --> 00:01:37,120 Speaker 2: to the election. Off balance sheet items don't show up 31 00:01:37,160 --> 00:01:40,520 Speaker 2: in the underlying budget balance. We're getting a bit technical here, 32 00:01:41,040 --> 00:01:45,000 Speaker 2: but my EPO suggests there will be ninety billion dollars 33 00:01:45,000 --> 00:01:48,400 Speaker 2: of those over the next four years. For example, the 34 00:01:48,440 --> 00:01:53,080 Speaker 2: headline budget this financial year is actually forty eight billion dollars. 35 00:01:53,360 --> 00:01:56,000 Speaker 2: The underlying we said was twenty seven. The headline is 36 00:01:56,040 --> 00:02:01,640 Speaker 2: forty eight billion dollars. The difference is that these things 37 00:02:01,680 --> 00:02:03,920 Speaker 2: that are in the headline but not the underlying are 38 00:02:03,960 --> 00:02:07,120 Speaker 2: considered investments. So there's a bunch of those money for 39 00:02:07,160 --> 00:02:10,160 Speaker 2: the National Broadband Network, for the modernization of the energy GRIB, 40 00:02:10,520 --> 00:02:14,840 Speaker 2: the snow hydro for housing, but they still are I mean, 41 00:02:14,880 --> 00:02:16,519 Speaker 2: they're not a cost, they're an investment. But we still 42 00:02:16,520 --> 00:02:17,920 Speaker 2: have to pay for it. The government still has to 43 00:02:17,919 --> 00:02:18,360 Speaker 2: pay for it. 44 00:02:18,639 --> 00:02:20,760 Speaker 1: Money starts to come from somewhere, don't Yeah. 45 00:02:20,600 --> 00:02:24,640 Speaker 2: Yeah, absolutely. There's also more than five billion dollars unallocated. 46 00:02:25,720 --> 00:02:28,560 Speaker 2: Basically that means that's an election slash fund. There's only 47 00:02:28,600 --> 00:02:31,280 Speaker 2: five billion dollars over four years, so it's not like 48 00:02:31,360 --> 00:02:34,880 Speaker 2: there's going to be huge spending promises coming out during 49 00:02:34,880 --> 00:02:35,480 Speaker 2: the campaign. 50 00:02:35,840 --> 00:02:38,960 Speaker 1: Okay, so that's the balance sheet side of the economy. 51 00:02:39,560 --> 00:02:43,160 Speaker 1: What are the gems have you uncovered info this year? 52 00:02:43,240 --> 00:02:46,079 Speaker 2: Sean Well. In terms of the economy, the government has 53 00:02:46,160 --> 00:02:49,600 Speaker 2: downgraded its growth forecast this financial year to one point 54 00:02:49,639 --> 00:02:52,280 Speaker 2: seventy five percent and then two and a quarter percent 55 00:02:52,440 --> 00:02:57,880 Speaker 2: after that. It's forecasting ongoing easing of inflation and wage increases, 56 00:02:57,960 --> 00:03:00,839 Speaker 2: with a steady pickup in the unemployment rate to four 57 00:03:00,880 --> 00:03:03,079 Speaker 2: and a half percent by the middle of next year. 58 00:03:03,440 --> 00:03:06,440 Speaker 2: Treasure Jim Chalmers yesterday said the economy is on track 59 00:03:07,040 --> 00:03:11,760 Speaker 2: for a soft landing. Other things, Net migration is forecast 60 00:03:11,760 --> 00:03:14,520 Speaker 2: to be three hundred and forty thousand this year. That's 61 00:03:14,680 --> 00:03:17,920 Speaker 2: this financial year. That's eighty thousand more than forecasts in 62 00:03:17,919 --> 00:03:20,360 Speaker 2: the May budget. That will put the government under pressure 63 00:03:20,760 --> 00:03:24,680 Speaker 2: in relation to how the housing market. Lots of bibbs 64 00:03:24,760 --> 00:03:28,520 Speaker 2: and bobs around the place. In yesterday's MAFO statement another 65 00:03:28,560 --> 00:03:31,000 Speaker 2: interesting one. The government wants to act the R and 66 00:03:31,040 --> 00:03:34,880 Speaker 2: D tax refunds or tax concessions for to back on 67 00:03:34,960 --> 00:03:36,280 Speaker 2: gambling companies. 68 00:03:36,800 --> 00:03:39,640 Speaker 1: All right now. Sean I mentioned at the top of 69 00:03:39,680 --> 00:03:42,280 Speaker 1: the show that the ASX is on track to end 70 00:03:42,280 --> 00:03:45,240 Speaker 1: the year with fewer listed companies than it started with 71 00:03:45,400 --> 00:03:48,000 Speaker 1: as more and more companies op to go private. 72 00:03:49,040 --> 00:03:51,680 Speaker 2: The total number of listings has fallen from two thousand, 73 00:03:51,840 --> 00:03:54,800 Speaker 2: one hundred and ninety one at the start of the 74 00:03:54,920 --> 00:03:58,320 Speaker 2: year to two one and twenty one by the end 75 00:03:58,360 --> 00:04:01,640 Speaker 2: of November, reflecting a net loss of seventy listings. According 76 00:04:01,640 --> 00:04:05,640 Speaker 2: to global investment firm EQT, there were thirty new listings 77 00:04:05,680 --> 00:04:10,040 Speaker 2: on the AX so far this year, compared to sixty 78 00:04:10,080 --> 00:04:13,440 Speaker 2: four D listings. The decline in the number of listings 79 00:04:13,480 --> 00:04:16,680 Speaker 2: continues a multi year contraction for the Australian share market 80 00:04:16,960 --> 00:04:20,520 Speaker 2: and chose the ongoing appeal of private markets also the 81 00:04:20,560 --> 00:04:24,800 Speaker 2: ongoing appeal of US markets. This trend is driven by 82 00:04:24,800 --> 00:04:28,120 Speaker 2: companies choosing to stay private longer or opting to d list. 83 00:04:28,720 --> 00:04:31,760 Speaker 2: It's still a few deals in the balance, like Perpetual's 84 00:04:31,800 --> 00:04:35,920 Speaker 2: battle to sell to its three businesses, that KKR that 85 00:04:36,200 --> 00:04:39,760 Speaker 2: is still in the balance where that stays as an 86 00:04:40,000 --> 00:04:44,080 Speaker 2: AX listed company or not. But certainly the trend is 87 00:04:44,120 --> 00:04:46,599 Speaker 2: to have fewer companies on the AX and SEAN. 88 00:04:46,640 --> 00:04:49,599 Speaker 1: While we're talking markets, the S and PASX two hundred 89 00:04:49,920 --> 00:04:55,039 Speaker 1: closed down four point six points, just zero points zero 90 00:04:55,200 --> 00:04:58,400 Speaker 1: six percent to eighty three hundred and nine points yesterday, 91 00:04:59,000 --> 00:05:02,159 Speaker 1: So down a little bit but really pretty flat. Still 92 00:05:02,200 --> 00:05:04,960 Speaker 1: a bit of corporate activity though around the place there is. 93 00:05:05,080 --> 00:05:08,400 Speaker 2: Vulcan Energy signed a one point four billion dollar loan 94 00:05:08,440 --> 00:05:11,400 Speaker 2: commitment with Export Finance Australia and a group of seven 95 00:05:11,440 --> 00:05:14,760 Speaker 2: commercial banks for the financing of its Line Heart project 96 00:05:14,800 --> 00:05:17,880 Speaker 2: in Germany. That project is targeting twenty four thousand tons 97 00:05:17,920 --> 00:05:21,719 Speaker 2: of lithium hydroxide production capacity per year. A big one, 98 00:05:21,920 --> 00:05:25,720 Speaker 2: Mineral Resources, has completed the sale of two exploration permits 99 00:05:25,880 --> 00:05:29,960 Speaker 2: to Hancock Prospecting. That's Genet Reinhardt's business about seven hundred 100 00:05:29,960 --> 00:05:32,159 Speaker 2: and eighty million dollars and that one separately. MinRes and 101 00:05:32,279 --> 00:05:35,360 Speaker 2: Hancock have agreed to form two fifty to fifty exploration 102 00:05:35,800 --> 00:05:39,440 Speaker 2: joint ventures over the former's remaining explosion permits in the 103 00:05:39,440 --> 00:05:44,400 Speaker 2: Perth Basin and Carnavan Basin and Insignia Toll shareholders Yesterday 104 00:05:44,440 --> 00:05:47,520 Speaker 2: it's rejecting private equity giant Baying Capital's four dollors per 105 00:05:47,560 --> 00:05:51,640 Speaker 2: share bid because it doesn't adequately represent fair value for them. 106 00:05:52,000 --> 00:05:53,240 Speaker 2: Its share price ended. 107 00:05:53,040 --> 00:05:57,120 Speaker 1: Lower and Sean the Aussie dollar, it's not having a 108 00:05:57,120 --> 00:05:59,640 Speaker 1: good time of it, is it. Maybe that's actually hid 109 00:06:00,080 --> 00:06:05,039 Speaker 1: addressing it up too well. It's really going. 110 00:06:04,800 --> 00:06:09,320 Speaker 2: Pretty poorly, it sure is, Michael. Yesterday the Aussie dollar 111 00:06:09,440 --> 00:06:14,120 Speaker 2: hit its lowest level this year, falling to sixty three 112 00:06:14,160 --> 00:06:17,560 Speaker 2: point three five US sense. The weakness in the currency 113 00:06:17,680 --> 00:06:21,240 Speaker 2: all year has reflected two things. Slow growth in China 114 00:06:21,440 --> 00:06:23,520 Speaker 2: as a result lower demand for Australian iron or if 115 00:06:23,520 --> 00:06:26,280 Speaker 2: there's lower demand for iron ore and Australian goods and 116 00:06:26,360 --> 00:06:30,320 Speaker 2: Chinese buyers need fewer Aussie dollars, that puts pressure on it. 117 00:06:31,240 --> 00:06:34,760 Speaker 2: Second thing, the US dollar has been strong, So when 118 00:06:34,800 --> 00:06:37,520 Speaker 2: you measure the Ausie dollar actually against other currencies outside 119 00:06:37,560 --> 00:06:41,480 Speaker 2: the US dollar, obviously very important for those heading overseas, 120 00:06:41,880 --> 00:06:45,760 Speaker 2: it's a much more mixed picture against the yen the 121 00:06:45,839 --> 00:06:48,320 Speaker 2: Aussie is reasonably strong. It's why so many people are 122 00:06:48,320 --> 00:06:50,440 Speaker 2: going skiing in Japan over the next couple of months, 123 00:06:50,760 --> 00:06:54,440 Speaker 2: against the euro relatively weak, making trips to that region 124 00:06:54,760 --> 00:06:55,479 Speaker 2: more expensive. 125 00:06:56,000 --> 00:06:59,279 Speaker 1: Sean after the show, After the rest of the show, 126 00:06:59,320 --> 00:07:01,800 Speaker 1: shall I say, You've got an interview coming up today 127 00:07:01,839 --> 00:07:05,760 Speaker 1: with Paul Robson, who is the CEO of MIOB, And 128 00:07:05,760 --> 00:07:08,560 Speaker 1: this one is really we talk a lot about small 129 00:07:08,600 --> 00:07:11,640 Speaker 1: businesses and in particular this one's targeting kind of sole 130 00:07:11,720 --> 00:07:14,280 Speaker 1: traders and sole operators. 131 00:07:14,440 --> 00:07:17,480 Speaker 2: That's right. They have a new product, which say, a 132 00:07:17,520 --> 00:07:22,080 Speaker 2: mobile first product to help sole traders and very small 133 00:07:22,080 --> 00:07:26,160 Speaker 2: businesses with their admin all their paperwork. The great thing 134 00:07:26,200 --> 00:07:28,560 Speaker 2: about this, one of the great things about Solo by 135 00:07:28,680 --> 00:07:31,640 Speaker 2: MIOB is that it is mobile first, so it is 136 00:07:31,720 --> 00:07:34,680 Speaker 2: designed for mobile so when you're on public transport you 137 00:07:34,760 --> 00:07:36,960 Speaker 2: might be able to do invoices or you know, tick 138 00:07:37,000 --> 00:07:39,720 Speaker 2: off payments stuff like that. So we talked to them 139 00:07:39,760 --> 00:07:42,360 Speaker 2: about that, but then more broadly we talk about the 140 00:07:42,440 --> 00:07:45,160 Speaker 2: state of the small business sector in Australia. 141 00:07:45,440 --> 00:07:48,360 Speaker 1: Yeah, it is a great conversation and MIOB are great 142 00:07:48,360 --> 00:07:52,160 Speaker 1: supporters of both small businesses and also fear and greed Sean, 143 00:07:52,200 --> 00:07:54,120 Speaker 1: We've got plenty still to talk about. We're going to 144 00:07:54,160 --> 00:07:58,440 Speaker 1: talk about National Australia Bank holding its AGM, Nissan and 145 00:07:58,560 --> 00:08:01,640 Speaker 1: Honda talking about merging. So as I start talking about 146 00:08:01,640 --> 00:08:04,880 Speaker 1: cars merging, it just feels like it is ripe for 147 00:08:04,960 --> 00:08:05,800 Speaker 1: a good part. 148 00:08:06,920 --> 00:08:08,080 Speaker 2: Save it up, Save it up. 149 00:08:08,160 --> 00:08:10,240 Speaker 1: Yeah, we'll see what it can come up with. We'll 150 00:08:10,240 --> 00:08:11,880 Speaker 1: be back in a moment. Sean with the rest of 151 00:08:11,880 --> 00:08:22,560 Speaker 1: the day's business news, Sean. National Australia Bank boss Andrew 152 00:08:22,600 --> 00:08:26,440 Speaker 1: Irvine says the Australian economy is in reasonable shape, with 153 00:08:26,520 --> 00:08:29,280 Speaker 1: the outlook improving for small businesses and jobs. 154 00:08:29,680 --> 00:08:33,760 Speaker 2: National Australian Bank held its annual general meeting yesterday. Now 155 00:08:33,880 --> 00:08:37,040 Speaker 2: NAB is the largest lender to sme so it knows 156 00:08:37,040 --> 00:08:39,680 Speaker 2: a thing or two about that sector. Mister Irvine said 157 00:08:39,760 --> 00:08:42,840 Speaker 2: the bank will continue to advocate for the sector as 158 00:08:42,880 --> 00:08:47,240 Speaker 2: it faces many challenges. The newly appointed CEO said National 159 00:08:47,240 --> 00:08:52,240 Speaker 2: Australia Bank is optimistic despite headwinds internationally and domestically. He 160 00:08:52,320 --> 00:08:54,480 Speaker 2: expects to see interest rates fall in the first half 161 00:08:54,480 --> 00:08:57,600 Speaker 2: of next year, but also realizes many customers are finding 162 00:08:57,679 --> 00:09:00,200 Speaker 2: it tough right now. Who also said that the bank 163 00:09:00,320 --> 00:09:04,239 Speaker 2: was working to protect its customers and itself from criminals. 164 00:09:04,320 --> 00:09:06,840 Speaker 2: In the past year, customers have abandoned more than one 165 00:09:06,920 --> 00:09:11,280 Speaker 2: hundred and seventy million dollars of potential scam payments as 166 00:09:11,320 --> 00:09:14,960 Speaker 2: a result of payment alerts. That's good news. Customer losses 167 00:09:15,000 --> 00:09:18,800 Speaker 2: from scams to client twenty percent last fiscal year compared 168 00:09:18,800 --> 00:09:19,680 Speaker 2: to twenty twenty three. 169 00:09:20,320 --> 00:09:26,000 Speaker 1: That's actually quite impressive. It's encouraging considering the volume of 170 00:09:26,040 --> 00:09:29,120 Speaker 1: scams or scam attempts I would say has probably increased 171 00:09:29,200 --> 00:09:32,720 Speaker 1: during that period. The fact that fewer losses are actually 172 00:09:32,800 --> 00:09:34,440 Speaker 1: being recorded is quite an achievement. 173 00:09:34,600 --> 00:09:36,720 Speaker 2: Yeah. Absolutely, the banks are doing a good job. 174 00:09:36,840 --> 00:09:41,480 Speaker 1: Yeah. Indeed, Now, high profile broadcaster Alan Jones is facing 175 00:09:41,600 --> 00:09:46,520 Speaker 1: eight new indecent assault charges relating to a tenth alleged victim. 176 00:09:46,880 --> 00:09:51,040 Speaker 2: Jones was already facing twenty six charges alleging a number 177 00:09:51,040 --> 00:09:55,920 Speaker 2: of things they allegedly occurred between June twenty one December 178 00:09:55,960 --> 00:09:58,720 Speaker 2: twenty nineteen. According to The Cydney Morning Herald, Jones was 179 00:09:58,800 --> 00:10:01,360 Speaker 2: arrested at his Luxury of apartment at Circular Key on 180 00:10:01,400 --> 00:10:03,920 Speaker 2: November eighteen. He's now been charged with eleven counts of 181 00:10:03,960 --> 00:10:07,920 Speaker 2: aggravated in decent assault, nineteen counts of assault with an 182 00:10:07,960 --> 00:10:12,000 Speaker 2: active indecency, two counts of sexually touching another person without consent, 183 00:10:12,360 --> 00:10:15,079 Speaker 2: and two counts of common assault. He was shielded by 184 00:10:15,120 --> 00:10:17,960 Speaker 2: his lawyers as he stepped out of a car yesterday 185 00:10:18,000 --> 00:10:21,160 Speaker 2: and into awaiting media scrumb outside Downing Center Local Court. 186 00:10:21,640 --> 00:10:24,400 Speaker 2: He was sworn at and heckled by a crowd surrounding 187 00:10:24,400 --> 00:10:27,160 Speaker 2: the media. Janes said h'llpeede not guilty to the charges 188 00:10:27,600 --> 00:10:30,679 Speaker 2: and welcomes the opportunity to clear his name sewn. 189 00:10:30,800 --> 00:10:35,280 Speaker 1: Four Brazilian municipalities joined in litigation pursuing BHP for eighteen 190 00:10:35,400 --> 00:10:39,160 Speaker 1: billion pounds, which is about thirty six billion dollars in 191 00:10:39,200 --> 00:10:42,680 Speaker 1: the British courts have quit the high profile class action 192 00:10:42,800 --> 00:10:46,000 Speaker 1: related to the Somaco Dam diazarster that killed nineteen people 193 00:10:46,400 --> 00:10:48,880 Speaker 1: and destroyed towns and infrastructure in Brazil. 194 00:10:49,200 --> 00:10:52,520 Speaker 2: The exit of the municipalities comes less than eight weeks 195 00:10:52,520 --> 00:10:56,720 Speaker 2: since PHP and its Samarco partners struck an alternative fifty 196 00:10:56,720 --> 00:10:59,680 Speaker 2: billion dollar compensation deal with a Brazilian government. According to 197 00:10:59,640 --> 00:11:03,600 Speaker 2: a report in The Financial Review, citizens, municipalities and businesses 198 00:11:03,640 --> 00:11:06,760 Speaker 2: affected by the twenty fifteen disaster now in effect have 199 00:11:06,840 --> 00:11:09,280 Speaker 2: to choose whether to sign up to the compensation deal 200 00:11:09,360 --> 00:11:13,560 Speaker 2: struck between the Brazilian government, the HP and Valais that's 201 00:11:13,600 --> 00:11:18,720 Speaker 2: its Marco partner, or take their chances on possible compensation 202 00:11:18,880 --> 00:11:21,920 Speaker 2: through the British class action by HP and Valley both 203 00:11:21,920 --> 00:11:24,120 Speaker 2: on fifty percent of some Marco but the companies will 204 00:11:24,200 --> 00:11:27,760 Speaker 2: be liable for less than half of that fifty billion 205 00:11:27,840 --> 00:11:31,640 Speaker 2: dollar figure, given the Marco mines have resumed production and 206 00:11:31,720 --> 00:11:35,000 Speaker 2: will be able to fund some reparations out of cash flow. 207 00:11:36,200 --> 00:11:39,040 Speaker 1: Sean the turning to international news now. The death toll 208 00:11:39,240 --> 00:11:43,160 Speaker 1: from the magnitude seven point three earthquake that struck off 209 00:11:43,240 --> 00:11:46,800 Speaker 1: Vanuatu on Tuesday is rising and the damage across the 210 00:11:46,800 --> 00:11:48,600 Speaker 1: South Pacific island is extensive. 211 00:11:48,880 --> 00:11:52,080 Speaker 2: Rescuers have been working non stop trying to reach some 212 00:11:52,240 --> 00:11:54,760 Speaker 2: people yelling under the rubble. The Red Cross reported that 213 00:11:54,800 --> 00:11:57,960 Speaker 2: at least fourteen people have been killed, hundreds of people 214 00:11:57,960 --> 00:12:01,280 Speaker 2: have been injured, and there's been widespread damage to communications 215 00:12:01,280 --> 00:12:05,600 Speaker 2: and other infrastructure that's impeded the flow of information. Phone 216 00:12:05,840 --> 00:12:10,160 Speaker 2: services remain down. The quake was followed by several aftershocks 217 00:12:10,520 --> 00:12:13,320 Speaker 2: on Tuesday, and then another magnitude six point one trend 218 00:12:13,480 --> 00:12:17,400 Speaker 2: struck the Vanawata Islands early yesterday Australia's Deputy Prime Minister, 219 00:12:17,480 --> 00:12:21,520 Speaker 2: Richard Miles said there were no Australian casualties or serious injuries. 220 00:12:22,200 --> 00:12:26,280 Speaker 1: Last one Sean, Nissan and Honda are in exploratory talks 221 00:12:26,679 --> 00:12:29,760 Speaker 1: about a merger of the two car makers that would 222 00:12:29,840 --> 00:12:33,600 Speaker 1: create a fifty two billion US dollar Japanese giant. 223 00:12:33,920 --> 00:12:36,280 Speaker 2: The two companies are considering a way to combine that 224 00:12:36,360 --> 00:12:39,640 Speaker 2: would help them better compete at a time when traditional 225 00:12:39,679 --> 00:12:43,360 Speaker 2: car makers are really struggling with the fast growing Chinese 226 00:12:43,480 --> 00:12:47,920 Speaker 2: electric vehicle manufacturers and so with than expected consumer demand 227 00:12:48,040 --> 00:12:51,160 Speaker 2: for evs. According to a report in The Financial Times, 228 00:12:51,559 --> 00:12:54,400 Speaker 2: the talks between Nissan and Honda are at an early 229 00:12:54,440 --> 00:12:57,400 Speaker 2: stage and there are concerns about a possible political backlash 230 00:12:57,400 --> 00:12:59,760 Speaker 2: in Japan because the merger of the two two of 231 00:12:59,760 --> 00:13:03,520 Speaker 2: the most storied car brands, could result in significant job cuts. 232 00:13:03,720 --> 00:13:06,199 Speaker 2: This In and Honda announced in March they team up 233 00:13:06,200 --> 00:13:10,199 Speaker 2: to develop evs and have deepened their talks amid uncertainty 234 00:13:10,200 --> 00:13:13,120 Speaker 2: about what Donald Trump's return as US president means for 235 00:13:13,160 --> 00:13:17,599 Speaker 2: the car industry. This year, shares in Nien, which is 236 00:13:17,640 --> 00:13:20,520 Speaker 2: also a cross shareholding structure with Rono, very confusing, but 237 00:13:20,559 --> 00:13:23,360 Speaker 2: the shares in this and are down about forty percent. 238 00:13:23,720 --> 00:13:26,640 Speaker 2: It's got a market capitalization of about eight billion dollars. 239 00:13:26,679 --> 00:13:29,600 Speaker 2: Honda's got a market value of about forty four billion dollars. 240 00:13:30,280 --> 00:13:33,720 Speaker 2: The combined value would rank as the world's third largest 241 00:13:33,880 --> 00:13:37,440 Speaker 2: car maker in terms of volume. This is certainly not 242 00:13:37,520 --> 00:13:40,680 Speaker 2: market capitalization. Tesla beats everyone hands down there, but just 243 00:13:40,720 --> 00:13:42,920 Speaker 2: in terms of the number of cars they're producing, it 244 00:13:42,960 --> 00:13:46,880 Speaker 2: would come in number three, behind Toyota and Volkswagen. 245 00:13:48,760 --> 00:13:53,760 Speaker 1: So at the moment at all, it's full full speed ahead. 246 00:13:54,280 --> 00:13:56,440 Speaker 1: But if it does here we go. 247 00:13:56,920 --> 00:13:57,120 Speaker 2: No. 248 00:13:57,120 --> 00:13:59,680 Speaker 1: No, I was just going to say, like, these things 249 00:13:59,720 --> 00:14:02,400 Speaker 1: can hit various kind of roadblocks and you might have 250 00:14:02,440 --> 00:14:03,520 Speaker 1: to park it for a while. 251 00:14:03,760 --> 00:14:05,800 Speaker 2: They could, but at the moment then you'll throttle to 252 00:14:05,840 --> 00:14:08,840 Speaker 2: the floor and breaks aren't on. But it's of course 253 00:14:08,880 --> 00:14:12,360 Speaker 2: all a report from the ft So we haven't crossed 254 00:14:12,360 --> 00:14:14,600 Speaker 2: the finish line yet. It's still quite a few laps 255 00:14:14,600 --> 00:14:14,760 Speaker 2: to go. 256 00:14:15,240 --> 00:14:17,760 Speaker 1: Oh, well done. I feel like we've really delivered some 257 00:14:17,880 --> 00:14:18,520 Speaker 1: value today. 258 00:14:18,559 --> 00:14:21,920 Speaker 2: Sean fun value. 259 00:14:22,720 --> 00:14:25,920 Speaker 1: I didn't say it was real value. Up next is 260 00:14:25,960 --> 00:14:28,320 Speaker 1: the Fear and Greed Daily Interview at your Guest Today. 261 00:14:28,360 --> 00:14:32,440 Speaker 1: Paul Robson, CEO of MIOB a great conversation to listen to. 262 00:14:32,520 --> 00:14:34,720 Speaker 1: If you're in small business or a soul trader, or 263 00:14:34,720 --> 00:14:37,400 Speaker 1: a contractor or a freelance or anything along those lines, 264 00:14:37,560 --> 00:14:39,520 Speaker 1: make sure you listen today's one. It's a great one 265 00:14:39,560 --> 00:14:41,280 Speaker 1: to listen to. Coming up in the Fear and Greed 266 00:14:41,280 --> 00:14:44,720 Speaker 1: playlist on your podcast platform or at Fearangreed dot com 267 00:14:44,760 --> 00:14:45,360 Speaker 1: dot au. 268 00:14:45,880 --> 00:14:47,600 Speaker 2: Thank you Sean, Thank you Michael. 269 00:14:47,840 --> 00:14:50,760 Speaker 1: It is Thursday, the nineteenth of December twenty twenty four. 270 00:14:50,800 --> 00:14:53,040 Speaker 1: Make sure you're following the podcast and please join us 271 00:14:53,080 --> 00:14:57,240 Speaker 1: online on LinkedIn, Instagram, x TikTok and Facebook. I'm Michael Thompson. 272 00:14:57,360 --> 00:14:59,280 Speaker 1: That was Fear and Greed. Have a great date.