1 00:00:03,880 --> 00:00:06,920 Speaker 1: It's Monday, the twelfth of January twenty twenty six. Welcome 2 00:00:06,920 --> 00:00:09,319 Speaker 1: to the Fast five Business News by Fear and Greed, 3 00:00:09,320 --> 00:00:11,080 Speaker 1: where we give you the top five business stories you 4 00:00:11,160 --> 00:00:13,440 Speaker 1: need to know in just five minutes. I'm Michael Thompson 5 00:00:13,480 --> 00:00:14,880 Speaker 1: and good morning Sean Aylmer. 6 00:00:15,120 --> 00:00:16,600 Speaker 2: Good morning, Michael Sewan. 7 00:00:16,800 --> 00:00:18,959 Speaker 1: Five big stories in five minutes. Let's go with story 8 00:00:19,040 --> 00:00:22,119 Speaker 1: number one. Bush Fires in Victoria and floods and storms 9 00:00:22,160 --> 00:00:25,560 Speaker 1: in Queensland continue to threaten property and lives. It's been 10 00:00:25,600 --> 00:00:28,120 Speaker 1: a horror few days really in terms of the weather crisis, 11 00:00:28,120 --> 00:00:31,480 Speaker 1: with the town of Euroa in Victoria at risk as 12 00:00:31,520 --> 00:00:34,840 Speaker 1: the bush fire in the state's northeast continues to rage. 13 00:00:35,320 --> 00:00:38,240 Speaker 2: Fire in Victoria has scorched three hundred and fifty thousand 14 00:00:38,280 --> 00:00:41,160 Speaker 2: hectares and claimed three hundred homes and buildings. At least 15 00:00:41,200 --> 00:00:44,280 Speaker 2: one person has died as a result of the blazers. 16 00:00:44,440 --> 00:00:47,479 Speaker 2: Near the central Victorian town of Seymour. Last night, there 17 00:00:47,479 --> 00:00:51,560 Speaker 2: were thirty two active fires, including ten major blazers, presenting 18 00:00:51,640 --> 00:00:55,120 Speaker 2: the biggest threat in that state. Despite cooler weather, multiple 19 00:00:55,120 --> 00:00:58,560 Speaker 2: evacuations were ordered yesterday. In Queensland. The risk of flooding 20 00:00:58,560 --> 00:01:03,440 Speaker 2: remains high after extropic cyclone Kogi made landfalls south of Townsville, 21 00:01:03,440 --> 00:01:06,679 Speaker 2: with huge amounts of rain expected along the North Queensland coast. 22 00:01:06,920 --> 00:01:09,280 Speaker 2: A number of airports in North Queensland were closed. Fifteen 23 00:01:09,319 --> 00:01:12,520 Speaker 2: thousand homes and businesses were without power last night, and 24 00:01:12,560 --> 00:01:16,280 Speaker 2: an estimate forty five thousand head of cattle have been 25 00:01:16,280 --> 00:01:17,320 Speaker 2: lost in floodwaters. 26 00:01:17,840 --> 00:01:21,280 Speaker 1: The Prime Minister, Anthony Alberanezi, was in Victoria yesterday. He 27 00:01:21,280 --> 00:01:23,800 Speaker 1: said that it's too early to tally the cost of 28 00:01:23,920 --> 00:01:27,360 Speaker 1: the bushfires and flooding that are taking place at the moment, 29 00:01:27,640 --> 00:01:30,880 Speaker 1: but his highlights of the growing costs of changing weather patterns. 30 00:01:31,120 --> 00:01:33,800 Speaker 2: He offered assistance to both states, while Victorian Premier Is 31 00:01:33,800 --> 00:01:36,160 Speaker 2: Center Allen said that nine and a half million dollars 32 00:01:36,200 --> 00:01:39,559 Speaker 2: of relief payments will be made available immediately for people 33 00:01:39,560 --> 00:01:41,920 Speaker 2: in fire effected regions of the State Insurance Council of 34 00:01:41,959 --> 00:01:45,560 Speaker 2: Australia has declared the Victorian bushfires to be a significant 35 00:01:45,640 --> 00:01:49,040 Speaker 2: event which will help people access their insurance policies. 36 00:01:49,320 --> 00:01:51,040 Speaker 1: Okay, moving on to story in number two now, and 37 00:01:51,080 --> 00:01:54,360 Speaker 1: there's something quite extraordinary happening on the asx Sean. The 38 00:01:54,400 --> 00:01:58,400 Speaker 1: cow Wealth Banks share price has dropped bhps has risen 39 00:01:58,560 --> 00:02:00,880 Speaker 1: and the miner is now nip being at the heels 40 00:02:00,920 --> 00:02:03,800 Speaker 1: of the bank in terms of becoming the country's largest stock. 41 00:02:04,440 --> 00:02:07,040 Speaker 2: This is remarkable because six months ago we were talking 42 00:02:07,080 --> 00:02:10,440 Speaker 2: about CBA the largest company, being fifty percent bigger than 43 00:02:10,480 --> 00:02:14,680 Speaker 2: the number two stock BHP. It's now only five percent bigger. 44 00:02:14,960 --> 00:02:17,639 Speaker 2: If the trend continues, BHP could soon once again become 45 00:02:17,639 --> 00:02:20,320 Speaker 2: the largest stock on the course. That has been one 46 00:02:20,360 --> 00:02:23,240 Speaker 2: of the highlights of the market so far this year. 47 00:02:23,480 --> 00:02:29,640 Speaker 2: The SMPAX two hundred is pretty flat since December thirty one. Obviously, 48 00:02:29,680 --> 00:02:32,000 Speaker 2: trading has been thin, lost of people on holidays. Been 49 00:02:32,040 --> 00:02:33,920 Speaker 2: some interesting M and A activity going on. We'll get 50 00:02:33,960 --> 00:02:37,959 Speaker 2: to that in a moment. Overall, on Friday, the ASEX 51 00:02:38,000 --> 00:02:41,160 Speaker 2: finished at eighty seven hundred and eighteen points. It's down 52 00:02:41,200 --> 00:02:44,040 Speaker 2: about four or five percent off its October high is. Interestingly, 53 00:02:44,120 --> 00:02:48,000 Speaker 2: most other global markets, our Wall Street, the foot Seat 54 00:02:48,000 --> 00:02:52,160 Speaker 2: in the UK, France, Germany, Italy all near record levels. 55 00:02:52,240 --> 00:02:53,600 Speaker 2: We haven't quite done so well. 56 00:02:54,000 --> 00:02:57,200 Speaker 1: Story number three. Let's talk about interest rates. Sean investors 57 00:02:57,280 --> 00:03:00,320 Speaker 1: and economists are still split over whether there's going to 58 00:03:00,320 --> 00:03:03,639 Speaker 1: be rate hikes this year or no change whatsoever. To 59 00:03:03,720 --> 00:03:05,360 Speaker 1: race no one's talking about rate cuts. 60 00:03:05,080 --> 00:03:08,799 Speaker 2: Though, nap as they're not. The November CPI data which 61 00:03:08,840 --> 00:03:11,839 Speaker 2: came out last week shows inflation was a touch week 62 00:03:11,840 --> 00:03:14,280 Speaker 2: and then expected. They're still above the Reserve banks two 63 00:03:14,280 --> 00:03:17,280 Speaker 2: to three percent target ban. The biggest problem, according to 64 00:03:17,320 --> 00:03:21,400 Speaker 2: the bank, rents and housing costs still way too high. 65 00:03:22,080 --> 00:03:25,400 Speaker 2: Worth mentioned from last week building approval figures jumped fifteen percent, 66 00:03:25,440 --> 00:03:29,160 Speaker 2: the best monthly increase in four years. That's about puts 67 00:03:29,200 --> 00:03:31,840 Speaker 2: the building new building at about two hundred and five 68 00:03:31,960 --> 00:03:35,320 Speaker 2: thousand per year. That would help supply. That would certainly 69 00:03:35,360 --> 00:03:39,040 Speaker 2: take some pressure of some of these price rises. Terms 70 00:03:39,040 --> 00:03:41,839 Speaker 2: of interest rates, hardly anyone thinks will be a cut 71 00:03:41,840 --> 00:03:45,040 Speaker 2: this year, Michael. Sorry, December quarter inflation data due at 72 00:03:45,080 --> 00:03:47,440 Speaker 2: the end of this month could well determine when the 73 00:03:47,480 --> 00:03:48,520 Speaker 2: next rate hike. 74 00:03:48,440 --> 00:03:50,760 Speaker 1: Is okay, story number four, you mentioned a bit of 75 00:03:50,880 --> 00:03:54,480 Speaker 1: M and A activity before. Rio Tinto and glen Core 76 00:03:54,640 --> 00:03:57,760 Speaker 1: have restarted talks over a potential. It's not even just 77 00:03:57,800 --> 00:03:59,480 Speaker 1: a merger, is it. It's a mega merger. 78 00:03:59,480 --> 00:04:00,320 Speaker 2: It's a mega merger. 79 00:04:01,040 --> 00:04:04,120 Speaker 1: It would make the world's largest mining company. 80 00:04:04,320 --> 00:04:07,680 Speaker 2: Yeah, they have spake them before, but those discussions collapsed. 81 00:04:07,840 --> 00:04:10,400 Speaker 2: It would create a company with a value of more 82 00:04:10,440 --> 00:04:13,720 Speaker 2: than two hundred and sixty billion US dollars. That's about 83 00:04:13,760 --> 00:04:16,479 Speaker 2: sixty percent bigger than BHP, which at the moment is 84 00:04:16,520 --> 00:04:19,520 Speaker 2: the largest mining company in the world. All about copper. 85 00:04:20,080 --> 00:04:24,159 Speaker 2: All these big miners want copper. Late last week, Rio 86 00:04:24,279 --> 00:04:27,359 Speaker 2: and glen Core said they were in preliminary discussions about 87 00:04:27,360 --> 00:04:30,520 Speaker 2: a possible combination of some or all of their businesses, 88 00:04:30,560 --> 00:04:33,039 Speaker 2: which could include an all share merger between Rio Tinto 89 00:04:33,040 --> 00:04:36,000 Speaker 2: and Glencore. Ria is bigger than grand Core structure probably 90 00:04:36,040 --> 00:04:40,479 Speaker 2: means that Ossie Rio would actually buy the Swiss company. 91 00:04:40,800 --> 00:04:43,480 Speaker 2: Over the weekend, Glencore's share price nine percent. Rio is 92 00:04:43,480 --> 00:04:45,760 Speaker 2: down six percent, so that's obviously what investors think. 93 00:04:46,000 --> 00:04:48,400 Speaker 1: And story number five. The other big m and a 94 00:04:48,400 --> 00:04:50,560 Speaker 1: announcement over the past couple of weeks, is a bid 95 00:04:50,600 --> 00:04:54,240 Speaker 1: for blue Scope Steel by a consortium including the Stokes 96 00:04:54,279 --> 00:04:55,960 Speaker 1: families SGH Limited. 97 00:04:56,400 --> 00:04:59,720 Speaker 2: The thirteen point two billion dollar bid was rejected by Bluescope, 98 00:04:59,720 --> 00:05:01,839 Speaker 2: with shar holders saying it's too low. Now the BID's 99 00:05:01,839 --> 00:05:04,320 Speaker 2: about a twenty five percent premium to what Bluescrape was 100 00:05:04,320 --> 00:05:07,240 Speaker 2: training ahead of the announcement. It has pushed its share 101 00:05:07,279 --> 00:05:10,240 Speaker 2: price to a level not seen in more than fifteen years. 102 00:05:10,279 --> 00:05:12,719 Speaker 2: I think it's about seventeen years or so. It's trading 103 00:05:12,760 --> 00:05:15,960 Speaker 2: about thirty dollars a share, which is about the bid price. 104 00:05:16,360 --> 00:05:19,080 Speaker 2: So read between the lines. Obviously, investors think a deal 105 00:05:19,120 --> 00:05:23,440 Speaker 2: will ultimately be done SGH. The Stokes family Company and 106 00:05:23,480 --> 00:05:26,520 Speaker 2: a US group called Steal Dynamics want to split Bluescope 107 00:05:26,560 --> 00:05:29,920 Speaker 2: into two. The Ohio Steel Works would be spun out. 108 00:05:30,320 --> 00:05:32,400 Speaker 2: The sticking point, it appears, is the value of the 109 00:05:32,400 --> 00:05:35,640 Speaker 2: company's property holdings. Stay tuned, Michael. 110 00:05:35,600 --> 00:05:37,919 Speaker 1: Indeed, there we go the top five business stories in 111 00:05:37,960 --> 00:05:40,680 Speaker 1: five minutes. Thank you, Sean, Thank you Michael. It's Monday, 112 00:05:40,800 --> 00:05:43,280 Speaker 1: the twelfth of January twenty twenty six. Remember to hit 113 00:05:43,320 --> 00:05:46,039 Speaker 1: follow on the podcast. And if five minutes just isn't 114 00:05:46,160 --> 00:05:48,520 Speaker 1: enough for you, you can find our longer daily show called 115 00:05:48,520 --> 00:05:51,239 Speaker 1: Fear and Greed wherever you listening to podcasts. I'm Michael 116 00:05:51,279 --> 00:05:53,400 Speaker 1: Thompson and that was the fast five business news by 117 00:05:53,440 --> 00:05:55,039 Speaker 1: Fear and Greed. Have a great day.