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Speaker 1: It's Tuesday, twenty eighth of January twenty twenty five. Welcome

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Speaker 1: to the Fast five Business News by Fear and Greed,

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Speaker 1: where we give you the top five business stories you

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Speaker 1: need to know in just five minutes.

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Speaker 2: Are Michael Thompson and Good Morning, Sean Aylmer, Good morning,

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Speaker 2: Michael Shawan.

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Speaker 1: Five big stories to get through in five minutes. Let's

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Speaker 1: go a story number one. We shall get a reasonably

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Speaker 1: clear indication of whether or not there'll be an interest

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Speaker 1: rate cut anytime soon this week with the release of

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Speaker 1: all important inflation figures for the December quarter.

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Speaker 2: That's right, the Bureau of Statistics will release those December

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Speaker 2: quarter consumer price index tomorrow. Headline rate will come in

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Speaker 2: somewhere between two and three percent. That's within the Reserve

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Speaker 2: Bank's target. That's on the back of electricity rebates from

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Speaker 2: the government, lower public transport costs, and caps on childcare fees.

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Speaker 2: It's also likely to include lower housing costs. But really

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Speaker 2: the question is all about what they call the underlying rate.

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Speaker 2: There's a few options when it comes to the underlying rate,

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Speaker 2: but the Reserve Bank likes the one that is the

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Speaker 2: trimmed mean. If for the quarter it comes in at

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Speaker 2: half percent or lower, then it's going to be very

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Speaker 2: hard for the Reserve Bank not to cut interest rates

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Speaker 2: next month. Economists say, if it came in at half percent,

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Speaker 2: as I'm suggesting, the annual run rate would be two percent.

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Speaker 2: That's very low inflation. It would be well below the

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Speaker 2: Reserve Bank's forecast. Governor Michelle Bullock has made it clear

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Speaker 2: that the Bank will cut rates if it believes inflation

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Speaker 2: is sustainably heading to target. Now, if it comes at

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Speaker 2: zero point six percent, probably a close run what it

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Speaker 2: does severe point seven percent or more. Rates are on

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Speaker 2: hold now Sean.

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Speaker 1: That's important for homeowners, it's important for people with business loans.

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Speaker 1: It's important for retirees, a lot of retirees who like

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Speaker 1: higher interest rates. It's also very important for the prospects

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Speaker 1: of the federal government being re elected in coming months.

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Speaker 2: That's right. The Prime Minister Anthony Albernizi sees his confident

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Speaker 2: of winning a majority government at the next election despite

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Speaker 2: falling the polls. A news poll from The Australian was

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Speaker 2: out yesterday. Two party referred fifty one to forty nine

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Speaker 2: against the government for the coalition. If this is outcome

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Speaker 2: is good and the Reserve Bank starts cutting interest rates.

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Speaker 2: That'll help the mood of voters and that will certainly

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Speaker 2: help the government's election chances.

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Speaker 1: All right, moving on to story number two. Now shown

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Speaker 1: the big banks are using perks and cash back offerings

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Speaker 1: to lure customers as competition between all the banks heat.

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Speaker 2: It's up, that's right, it's an interest rates start to fall.

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Speaker 2: The banks are more interested in getting people's deposits and

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Speaker 2: so they're actually fighting for that. They're offering sign on cash,

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Speaker 2: referral cash, ongoing discounts, rebates, reward points, donations, all sorts

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Speaker 2: of things, according to an analysis by can Star, which

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Speaker 2: was done for the Australian. A few examples, Westpac is

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Speaker 2: giving immigrants who have arrived in the past year fifty

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Speaker 2: dollars for opening a choice account and depositing one hundred

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Speaker 2: dollars or more. Thank of Queensland owned Virgin Money gives

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Speaker 2: new customers five thousand Virgin points when they open a

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Speaker 2: certain account, and Tasmani's Bank of Us, which is customer own,

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Speaker 2: pledges to donate one percent of the account's average annual

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Speaker 2: balance to a chosen community organization. Lots of creative ways

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Speaker 2: to attract money there. Yeah.

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Speaker 1: Indeed, in the moral of the story.

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Speaker 2: Shop around.

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Speaker 1: Indeed, Sean Story number three. Following what can best be described,

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Speaker 1: I would say as a tepid end of the year,

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Speaker 1: the housing auction marketers gradually kicking off again. Four hundred

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Speaker 1: homes went to auction over the past week.

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Speaker 2: Gradually kicking off preliminary clear and straight of sixty four

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Speaker 2: point three across the country. That's a bit below where

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Speaker 2: it wasn't Melbourne, Sydney was lower than that, Adelaide was

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Speaker 2: pretty high. Too few auctions in other cities to really

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Speaker 2: take too much note. Just in case you've been on holidays,

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Speaker 2: it's worth just remembering what happened last year. Over twenty

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Speaker 2: twenty four, Melbourne hobunt and the act went backwards. Perth

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Speaker 2: was best, up nine percent. Adelaide and Brisbane had a

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Speaker 2: great year last year as well. Sydney was up five

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Speaker 2: or six percent. That was backwards towards the end of

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Speaker 2: the year. The average home value was up nearly five

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Speaker 2: percent last year. That's across all markets, about thirty eight

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Speaker 2: thousand dollars to medium value homes. And the regions did

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Speaker 2: better than the capital cities.

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Speaker 1: Story number four, Sean, we've talked before on this podcast

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Speaker 1: about the rising price of coffee and cocoa, and that's

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Speaker 1: why the humble flat white and your Cadbury's bar is

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Speaker 1: so expensive at the moment. But another soft commodity that's

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Speaker 1: in the group of rising prices is.

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Speaker 2: Orange juice for last year, and while it peaked in

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Speaker 2: September twenty twenty four, it's still about five times the

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Speaker 2: price of pre COVID levels orangey. They're actually traded on

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Speaker 2: something called the Intercontinental Exchange and you can buy and

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Speaker 2: sell future frozen concentrated orange juice. The two big players

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Speaker 2: Brazil and the US. What's happening there in Brazil big droughts,

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Speaker 2: citrus disease, low production. In the US, mostly it's Florida.

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Speaker 2: Nine percent of US crops were in Florida, hit by

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Speaker 2: hurricanes in recent season and then freezing conditions, lack of

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Speaker 2: supply pushing up orange juice prices big time. And we're

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Speaker 2: starting to feel that at the supermarket.

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Speaker 1: Last one, John story number five. Donald Trump has started

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Speaker 1: using sanctions against countries not bending to his will, ordering

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Speaker 1: his administration to impose tariffs and sanctions on columb hours

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Speaker 1: after its leftist president refused to allow two military planes

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Speaker 1: carrying deported migrants to land.

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Speaker 2: The president's showing that he's prepared to use economic tools

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Speaker 2: to get his social agenda through. He's initially put a

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Speaker 2: twenty five percent tariff on Colombian goods pretty much immediately

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Speaker 2: settled up to fifty percent in a week's time. We're

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Speaker 2: talking oil, gold, coffee, flowers. That's mostly what Columbia sells

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Speaker 2: to the US. It really shows that even if you

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Speaker 2: are friends with US, as Columbia has been, Trump really

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Speaker 2: doesn't care that much. Also over the weekend, Trump suggested

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Speaker 2: mass deportation of two point three million Palestinians to Egypt

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Speaker 2: and Jordan. Egypt already rejected that one. He ridiculed Denmark's

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Speaker 2: efforts to defend Greenland from the USA. Quite they put

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Speaker 2: two dogs LEDs there two weeks ago. They thought that

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Speaker 2: was protection, fairly condescending. He also said that he's inclined

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Speaker 2: not to put tariffs on China immediately. Mass deportations are

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Speaker 2: in full swing in some states, particularly in Illinois and Chicago.

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Speaker 2: Some illegal immigrants are actually arriving back in Central America

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Speaker 2: in shackles. Literally. Chicago churches and schools have been raided.

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Speaker 2: We're seeing things that we didn't really expect to see

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Speaker 2: in the US. Yeah.

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Speaker 1: Indeed, all right, there we go the top five business

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Speaker 1: stories in five minutes. Thank you very much, Sean, Thank you, Michael.

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Speaker 1: It is Tuesday, the twenty eighth of January twenty twenty five.

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Speaker 1: Remember to hit follow on the podcast. If five minutes

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Speaker 1: isn't long enough, you can find our longer daily show

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Speaker 1: called Fear and Greed wherever you listen to. Podcasts are

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Speaker 1: Michael Thompson. And that was the fast five business news

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Speaker 1: by Fear and Greed. Have a great day.