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Speaker 1: Welcome to the Saturday edition of The Fast Five Business

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Speaker 1: News by Fear and Greed. Are Michael Thompson and Hello

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Speaker 1: Sean Aylmer. Hello Michael Sean. On weekdays, it's the top

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Speaker 1: five business stories in five minutes. On the weekend, we

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Speaker 1: still keep it a five minutes, but we're going to

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Speaker 1: pick out the biggest business story of the week, the

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Speaker 1: most remarkable business story, a mystery category as well, just

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Speaker 1: to keep things just a little bit interesting, and then

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Speaker 1: our favorite business related story. Let's jump straight into it.

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Speaker 1: The biggest business story this week.

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Speaker 2: I mean, the biggest story is what's going on in

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Speaker 2: the Middle East, but let's talk about derivatives from that

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Speaker 2: and what's happened to oil prices and what it means

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Speaker 2: for the world. I think is the biggest story of

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Speaker 2: the week. The Strait of Homuz, which carries twenty percent

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Speaker 2: of the world's oil supply, is effectively closed. Price is

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Speaker 2: going up and down on whatever Donald Trump seems to

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Speaker 2: be saying. In fact, by the end of the week

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Speaker 2: is comments we're losing their currency a bit, and even

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Speaker 2: the release of four hundred million barrels of oil couldn't

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Speaker 2: keep a lid on prices. This of course flows through

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Speaker 2: the petrol prices. Midterm elections in the US are the

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Speaker 2: asset prices, so the local equity market got hit really

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Speaker 2: hard inflation expectations. Oil prices hit the cost of most

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Speaker 2: goods in fact, because they're shifted around the world transport costs.

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Speaker 2: So what's happened to the price of oil? Absolutely incredible

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Speaker 2: and the biggest thory of the week for mine.

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Speaker 1: Yeah, I would agree with you on that one. And

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Speaker 1: you mentioned inflation expectations and what does that mean for

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Speaker 1: interest rates here in Australia. And it's looking more and

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Speaker 1: more likely as though we will be getting an interest

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Speaker 1: rate hike when the Reserve Bank Board meets Monday and

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Speaker 1: Tuesday of next week. We had Deputy Governor of the

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Speaker 1: Reserve Bank, Andrew Houser declaring last week that failing to

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Speaker 1: raise rates to the level they need to be and

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Speaker 1: allowing inflation to get out of control as a clear problem.

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Speaker 1: It sounds pretty likely all the big banks are tipping

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Speaker 1: a rate hike. They're also actually tipping one at the

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Speaker 1: next meeting then as well in May, so looking at

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Speaker 1: potentially back to back rate hikes. Anyway, Sean, let's move

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Speaker 1: on to most remarkable with a bit of a sub

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Speaker 1: category a theme to it this week, which is how

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Speaker 1: AI is changing the world, because there are a couple

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Speaker 1: of good examples of that in the last week. One

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Speaker 1: of them involves at Lassian, which has been a poster

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Speaker 1: child of tech's success, a homegrown Australian company listed on

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Speaker 1: the Nasdaq, and it has been it has been really

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Speaker 1: high profile. This week. It cut ten percent of jobs,

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Speaker 1: about sixteen hundred jobs, five hundred or so here in Australia.

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Speaker 1: Basically it is now a victim of AI. The SAS

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Speaker 1: apocalypse is kind of the potential for AI to eat

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Speaker 1: into the profits of the profitability and that the functions

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Speaker 1: of what a lot of these software companies are doing.

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Speaker 1: Lassian says that, hey, we're going to actually get rid

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Speaker 1: of these jobs, reinvest into AI, become more efficient, become better.

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Speaker 1: But it is hitting companies left right and center.

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Speaker 2: Yeah, sure is. Look my big AI story of the

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Speaker 2: most remarkable AI story of the week is ends Opic

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Speaker 2: heating to Australia. In the English speaking world, there are

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Speaker 2: three leaders when it comes to AI and the large

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Speaker 2: language models Open AIS, Chat, GPT, Google's Gemini and Anthropics

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Speaker 2: Claude Well which is the best depends on what you

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Speaker 2: want to use it for, I suppose. But Anthropic wants

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Speaker 2: to set up its head office in Australia and New

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Speaker 2: Zealand in Sydney, potentially invest in data centers. This kind

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Speaker 2: of puts the Australia front and center in the AI world.

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Speaker 2: We know the federal government likes the idea of investing

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Speaker 2: in data centers. It's through two hundred million dollars in

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Speaker 2: Aquari Technology Group this week. And we also know that

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Speaker 2: Anthropic isn't everyone's cup of tea having a big fight

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Speaker 2: with the Trump administration at the moment. However, the fact

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Speaker 2: that one of the three big players is setting on

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Speaker 2: up an office in Australia really is significant for our

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Speaker 2: AI industry.

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Speaker 1: Yeah, it certainly is. Let's go on to our mystery

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Speaker 1: category that changes every week. A look, I want to

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Speaker 1: put it politely. They are worthy stories, but they're also Yeah,

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Speaker 1: but there's also the very small ance that eyes may

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Speaker 1: glaze over as we do this. What did you what

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Speaker 1: did you like? Sean?

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Speaker 2: Oh, look, I still think it's tax reform stopped glazing

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Speaker 2: rolling eyes basic. Jim Chalmers this week said that the

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Speaker 2: Middle East wouldn't stop major reform in the budget that's

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Speaker 2: coming up on the twelfth of May. We know couple

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Speaker 2: gains taxes on the agenda may be reducing the rate

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Speaker 2: for house investors, maybe making it retrospective. We also had

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Speaker 2: Teel Illegal Spenders white paper paper and it's proposal to

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Speaker 2: cut income tax for typical full time workers by about

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Speaker 2: sixteen hundred dollars a year. Fund that via high high

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Speaker 2: levees on couple gains on trusts and phasing out negative

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Speaker 2: gearing tax reform is on might sound dull to many people,

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Speaker 2: but really really important.

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Speaker 1: Yeah, yeah. And the other one is what's going on

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Speaker 1: in politics at the moment. I only put this in

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Speaker 1: this in this category because there's been so much change

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Speaker 1: and so much talking within the conservative side of politics

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Speaker 1: and the latest development this week new Nationals leader David

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Speaker 1: Little Proud quit said he was in a very Australian

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Speaker 1: way to quit and buggered. So he's done. He's still

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Speaker 1: going to stay in Parliament, but he is not going

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Speaker 1: to be the leader. Matt Canavan is the new leader,

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Speaker 1: very very conservative in a lot of his views, encouraging

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Speaker 1: Australia to become hyper Australian. He says that we need

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Speaker 1: Australian jobs, more Australian humor, more Australian values, more Australian

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Speaker 1: barbecues cooked on Australian coal. Really going to take on

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Speaker 1: Pauline Hanson and One Nation because that party in particular

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Speaker 1: has been booming, particularly in the last few months as

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Speaker 1: the coalition's been in disarray. This will be a big

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Speaker 1: showdown between on the conservative side part of politics.

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Speaker 2: Yeahn jie my favorite story.

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Speaker 1: Please we may be united on this one. Go on.

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Speaker 2: It's all about robotaxis and zoukesh the right pronunciation, zooks, Zooks.

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Speaker 2: There you go, I keep getting it wrong, zooks. It

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Speaker 2: wants to put a very specific kind of robot tax

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Speaker 2: on U Westrood's one without a steering, a wheel out

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Speaker 2: an accelerated without a break, without a clutch, just much

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Speaker 2: easier to make. Basically, the companies ask US regulators to

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Speaker 2: allow it to deploy purpose built vehicles that basically you

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Speaker 2: do not look or certainly do not drive like a

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Speaker 2: traditional car. What I love about this story, though, is

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Speaker 2: Zook's Australian designer, a guy called Timmick Kentley Clay, backed

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Speaker 2: by Blackbird Ventures, one of Australia's big VC funds now

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Speaker 2: owned by Amazon out of the US, but a real

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Speaker 2: success story for Australian VC. Australian designers. Basically cars on

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Speaker 2: the road without steering, wheels or any of that other

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Speaker 2: plava like brakes and accelerators and stuff.

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Speaker 1: All that stuff that just gets in the way when

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Speaker 1: you try to drive. All right, thank you very much, Sean.

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Speaker 2: Thanks Michael.

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Speaker 1: There we go the top five stories, or rather five

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Speaker 1: minutes and everything you need to know in the world

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Speaker 1: of business. Don't forget to hit follow on the podcast

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Speaker 1: and head to Fearandgreed dot com dot at you to

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Speaker 1: sign up for our free daily newsletter. I'm Michael Thompson

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Speaker 1: and this is the fast five business news back here

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Speaker 1: and Greed