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Speaker 1: Welcome to the Fear and Greed Business News Afternoon Report

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Speaker 1: for Monday, the twelfth of August twenty twenty four. I'm

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Speaker 1: Sean Aelma. Every afternoon, we've got the five stories that

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Speaker 1: happened today that you need to know about straight hum one.

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Speaker 1: The S and PA six two hundred finished up half

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Speaker 1: a percent today to eight hundred and fourteen points, with

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Speaker 1: information technology and consumer discretionary stocks doing best. The former

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Speaker 1: reflects what happened on Wall Street over the weekend. The

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Speaker 1: latter reflects the confidence the JB High Fire result gave

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Speaker 1: investors now. JB High Fire today announced a sixteen percent

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Speaker 1: drop in underlying profit, but it was better than analysts expected,

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Speaker 1: and its share price searched ten percent. Wyseat Global was

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Speaker 1: the best of the large caps, ending up two and

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Speaker 1: a half percent, but it had plenty of friends, National

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Speaker 1: Australia Bank and Z West Farmer's, Macquarie, Goodman Group, Aristocrat

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Speaker 1: Leisure QB. They all closed up more than one percent.

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Speaker 1: Rio Tinto, Fortes, q Medals Group and Ria were among

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Speaker 1: the worst performers of the large caps. At least. Beach

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Speaker 1: Energy share price fell twelve percent after it downgraded reserves

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Speaker 1: at a field in Victoria that started up only two

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Speaker 1: months ago. It was the worst of the top two hundred.

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Speaker 1: Best was tab Corps. It was up more than ten percent.

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Speaker 1: Story number two Federal Parliament is back and whether the

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Speaker 1: Alberzi government is helping or hindering rate cuts is going

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Speaker 1: to play out in the run up to the next election.

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Speaker 1: The election is due by May next year, and today

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Speaker 1: Prime Minister Anthony Alberzi maintained that Labor is helping the

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Speaker 1: Reserve Bank in its fight against price pressures. He added

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Speaker 1: that inflation has halved since Labour came into office. He

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Speaker 1: also defended his government's cost of living plans while criticizing

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Speaker 1: the coalitions own economic credentials and treasure Jim Chalmers has

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Speaker 1: accused Opposition Treasury spokesperson Angus Taylorm of desperately wanting inflation

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Speaker 1: and interest rates to push higher for his own political advantage.

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Speaker 1: We're going to hear lots more of this over the

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Speaker 1: next few months. Storry number three Rayle Haulage Group arise

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Speaker 1: and has announced a twenty five percent jump in annual

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Speaker 1: net profit and will spend one hundred and fifty million

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Speaker 1: dollars buying back shares. But it didn't meet Hiss the

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Speaker 1: both target for the network and coal businesses, and the

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Speaker 1: result was below expectations. As a result, its share price

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Speaker 1: tumbled nine percent. While the coal business did well, the

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Speaker 1: consumer goods transport business isn't doing so well, with chief

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Speaker 1: executive Andrew Harding saying the containerized freight market is softer

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Speaker 1: than industry would expect. He blamed inflation and higher interest rates.

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Speaker 1: Horizon has primarily been a coal haulage company, but is

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Speaker 1: pushing into soft goods, particularly long the East Coast. The

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Speaker 1: group's share price is off fourteen percent this year. Story

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Speaker 1: number four. Trade unions are making inroads into the big miners,

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Speaker 1: with BHP being forced in the negotiating table and RIO

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Speaker 1: tinto under pressure to do the same. BHP will need

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Speaker 1: to negotiate under recent industrial relations changes introduced by Labour,

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Speaker 1: despite assurances that the laws would not affect the sector.

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Speaker 1: According to a report in the Financial Review, the move

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Speaker 1: has already drawn the ire of the Minerals Council, whose

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Speaker 1: chief executive Tenure Constable said it was the start of

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Speaker 1: a union power grab. Before the changes, would have had

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Speaker 1: to establish that they represented most workers. Before BHP and

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Speaker 1: RIO were forced to negotiate with them. Brad Gandhi, the

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Speaker 1: Australian Workers' Union State Secretary, said wages and conditions for

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Speaker 1: iron ore miners were not as good as many people thought.

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Speaker 1: Maybe we checked government agency jobs and skills. Australia estimates

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Speaker 1: of the median wage in the mining industry is twy

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Speaker 1: four hundred and fifty two dollars per week. That's about

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Speaker 1: sixty percent higher than the overall median across the economy.

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Speaker 1: And story number five. Foreign investors pulled the record amount

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Speaker 1: of money from China last quarter, likely reflecting deep pessimism

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Speaker 1: about the world's second largest economy. China's direct investment liabilities

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Speaker 1: in its balance of payments dropped almost fifteen billion dollars

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Speaker 1: in the April to June period, marking only this second

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Speaker 1: time this figure has turned negative. It was down about

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Speaker 1: five billion dollars for the first six months. If it

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Speaker 1: continues for the year, it would be the first annual

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Speaker 1: net outflow since at least nineteen ninety that's when data

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Speaker 1: began being collected. I've heard lots of stories about foreign

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Speaker 1: investors pulling out of China and putting it into other

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Speaker 1: regional assets like Commonwealth Bank shares. This is the first

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Speaker 1: half of that story in numbers. The fore comes despite

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Speaker 1: Beijing's growing efforts to attract and retain a foreign investment.

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Speaker 1: According to Bloomberg, the government wants to show it remains

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Speaker 1: open and attractive to foreign business and the hope that

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Speaker 1: companies will bring advanced technologies and resist pressure from the

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Speaker 1: US and elsewhere to decouple from China. That's it for

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Speaker 1: the Afternoon Report for Monday, the twelfth of August twenty

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Speaker 1: twenty four. Don't forget to follow on the podcast and

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Speaker 1: find Fear and Greed on LinkedIn, Instagram, x TikTok and Facebook.

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Speaker 1: Join Michael Thompson and I tomorrow Morning for the Fast

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Speaker 1: Five by Fear and Greed, the top five business stories

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Speaker 1: you need to know in just five minutes. I'm Shane Elmer.

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Speaker 1: Enjoy your Readning