1 00:00:03,800 --> 00:00:07,200 Speaker 1: It's Tuesday, the eighteenth of February twenty twenty five. Welcome 2 00:00:07,280 --> 00:00:09,680 Speaker 1: to the Fast five Business News by Fear and Greed, 3 00:00:09,680 --> 00:00:11,520 Speaker 1: where we give you the top five business stories you 4 00:00:11,600 --> 00:00:13,920 Speaker 1: need to know in just five minutes. Are Michael Thompson 5 00:00:13,920 --> 00:00:15,800 Speaker 1: and Good morning, Sean Aylmer. 6 00:00:15,920 --> 00:00:17,760 Speaker 2: Good morning, Michael Thompson. 7 00:00:17,800 --> 00:00:20,639 Speaker 1: Sean massive day today. Five stories, five minutes. Let's go 8 00:00:20,680 --> 00:00:24,320 Speaker 1: Story number one. West PAC's relatively new boss, Anthony Miller, 9 00:00:24,440 --> 00:00:26,920 Speaker 1: has lent his support to an interest rate cut by 10 00:00:26,920 --> 00:00:29,560 Speaker 1: the Reserve Bank Board today, saying it would help businesses 11 00:00:29,600 --> 00:00:32,960 Speaker 1: by reducing pressure on mortgage holders. Last week, the boss 12 00:00:32,960 --> 00:00:36,400 Speaker 1: of Commonwealth Bank said a cut will help drive corporate confidences. 13 00:00:36,400 --> 00:00:37,839 Speaker 1: A bit of pressure on the Reserve Bank. 14 00:00:37,720 --> 00:00:39,760 Speaker 2: Sure is and the boss of Bendigo and Adelaide Bank, 15 00:00:40,000 --> 00:00:43,000 Speaker 2: Richard Fanell, yesterday said he expects a rate cut today. 16 00:00:43,040 --> 00:00:45,200 Speaker 2: He thinks the cash rate will fall to a more 17 00:00:45,280 --> 00:00:47,519 Speaker 2: neutral level this year of three point five percent. That 18 00:00:47,560 --> 00:00:50,479 Speaker 2: suggests three rate cuts this year. We'd like to see that. 19 00:00:51,080 --> 00:00:54,200 Speaker 2: Pretty much everyone thinks the Central Bank will cut today. 20 00:00:54,400 --> 00:00:58,520 Speaker 2: Plenty of politicians politicians from both sides of Parliament, including 21 00:00:58,520 --> 00:01:01,360 Speaker 2: Opposition Leader Peter Dunn, is wishing for a rate cut. 22 00:01:01,520 --> 00:01:03,920 Speaker 2: Financial markets have priced in about a ninety percent chance 23 00:01:03,960 --> 00:01:06,040 Speaker 2: of a cut today. Now, given the federal election, it 24 00:01:06,080 --> 00:01:08,680 Speaker 2: would be a very brave bank not to pass on 25 00:01:08,720 --> 00:01:11,520 Speaker 2: the rate cut. Say, by this evening, there could well 26 00:01:11,560 --> 00:01:14,080 Speaker 2: be a raft of announcements about mortgage rates falling. 27 00:01:14,319 --> 00:01:17,520 Speaker 1: Sean I mentioned Westpac boss Anthony Miller. He was talking 28 00:01:17,640 --> 00:01:22,000 Speaker 1: after the country's third largest bank, sixth largest country, sixth 29 00:01:22,160 --> 00:01:26,000 Speaker 1: largest company reported a disappointing December quarter profit. I was 30 00:01:26,040 --> 00:01:26,760 Speaker 1: going too fast. 31 00:01:26,880 --> 00:01:28,840 Speaker 2: You were one point seven billion dollars a net profit 32 00:01:28,920 --> 00:01:32,039 Speaker 2: for the quarter, below expectations. He said it was due 33 00:01:32,040 --> 00:01:34,320 Speaker 2: to hedge accounting. No ide would hedge you counting means 34 00:01:34,360 --> 00:01:37,039 Speaker 2: something to do with derivatives. Anyway. Investors don't like it 35 00:01:37,080 --> 00:01:39,520 Speaker 2: when you get that sort of reasoning. Its share price 36 00:01:39,640 --> 00:01:43,800 Speaker 2: for four percent. Interestingly, twenty five percent of customers at 37 00:01:43,800 --> 00:01:46,400 Speaker 2: Westpac who have a mortgage and more than two years 38 00:01:46,400 --> 00:01:49,120 Speaker 2: ahead on repayments pretty good. I mentioned Benny Go and 39 00:01:49,160 --> 00:01:53,040 Speaker 2: Adelaide Bank. They're also worth a mention. They've done incredibly 40 00:01:53,120 --> 00:01:56,320 Speaker 2: well getting market share in the mortgage market, but it 41 00:01:56,360 --> 00:01:59,840 Speaker 2: hasn't been profitable as a result. Its share price was 42 00:01:59,840 --> 00:02:04,360 Speaker 2: sold off big time yesterday. Simply because good market shared 43 00:02:04,480 --> 00:02:06,080 Speaker 2: not profitable market share invested. 44 00:02:06,120 --> 00:02:10,239 Speaker 1: That like that sean. Story number two, Australia's largest steelmaker, 45 00:02:10,280 --> 00:02:13,280 Speaker 1: blue Scope, says prices in the United States have jumped 46 00:02:13,320 --> 00:02:17,000 Speaker 1: twenty percent since President Donald Trump restored twenty five percent 47 00:02:17,000 --> 00:02:19,440 Speaker 1: tariffs on importer steal. That only happened last week. 48 00:02:19,600 --> 00:02:23,359 Speaker 2: Yeah, twenty percent, that's an immediate move. Blue Scope has 49 00:02:23,400 --> 00:02:26,720 Speaker 2: a massive meal in It's called north Star Mill in 50 00:02:27,000 --> 00:02:31,679 Speaker 2: Ohio produced a steel for cars, white goods, agricultural industries. 51 00:02:31,960 --> 00:02:33,920 Speaker 2: About half of their earnings come out of the US, 52 00:02:33,960 --> 00:02:36,640 Speaker 2: so tarif's actually good news for them. The highest higher 53 00:02:36,639 --> 00:02:40,240 Speaker 2: price in the US actually outweighs any negative news that 54 00:02:40,440 --> 00:02:43,360 Speaker 2: Bluescape might feel. Now. One thing they are worried about 55 00:02:43,400 --> 00:02:48,040 Speaker 2: is China dumping steel in Australia. CEO Mark Vasella said 56 00:02:48,560 --> 00:02:51,560 Speaker 2: announced a big drop in half year profit margins were 57 00:02:51,560 --> 00:02:55,400 Speaker 2: squeezed because of what's happening in China, but that's the 58 00:02:55,400 --> 00:02:57,480 Speaker 2: bottom of the cycle. The outlook is much stronger. As 59 00:02:57,520 --> 00:02:59,720 Speaker 2: a result, its share price jumped to thirteen percent, which 60 00:02:59,720 --> 00:03:01,120 Speaker 2: is the rise indeed. 61 00:03:01,120 --> 00:03:03,840 Speaker 1: Story number three, there's a major rail dispute going on 62 00:03:04,000 --> 00:03:05,919 Speaker 1: in New South Wales and it's one of those state 63 00:03:06,000 --> 00:03:08,800 Speaker 1: stories that becomes a federal issue because federal labor is 64 00:03:08,800 --> 00:03:11,880 Speaker 1: actually worried that it will hurt the party's chances at 65 00:03:11,880 --> 00:03:12,720 Speaker 1: the upcoming election. 66 00:03:13,040 --> 00:03:15,800 Speaker 2: Prime Minister Anthony Albanezi is expected to call an election 67 00:03:15,880 --> 00:03:17,880 Speaker 2: in coming weeks now. The opposition is calling on the 68 00:03:17,919 --> 00:03:20,600 Speaker 2: feeds to step in to prevent this strike. In New 69 00:03:20,639 --> 00:03:24,080 Speaker 2: South Wales, the dispute overpay erupted again over the weekend 70 00:03:24,080 --> 00:03:27,000 Speaker 2: with long delays and cancelations on the Sydney Rail network. 71 00:03:27,000 --> 00:03:29,720 Speaker 2: Place Relations Minister Murray Watts spoke to both parties over 72 00:03:29,720 --> 00:03:32,720 Speaker 2: the weekend. For federal labor, there's a perception that unions 73 00:03:32,720 --> 00:03:36,120 Speaker 2: are pushing too hard and are considered too powerful and 74 00:03:36,120 --> 00:03:39,440 Speaker 2: that could damage labour's chances at the polls. The Men's 75 00:03:39,440 --> 00:03:41,720 Speaker 2: government in New South Wales, which is the labor government, 76 00:03:41,880 --> 00:03:43,880 Speaker 2: will apply to the Fair Work Commission for a six 77 00:03:43,920 --> 00:03:47,480 Speaker 2: month suspension of further industrial action pending resolution. I'm sure 78 00:03:47,480 --> 00:03:49,520 Speaker 2: Anthony Alberanezi hopes that happens quick. 79 00:03:49,560 --> 00:03:51,880 Speaker 1: One story number four, a two milk company which has 80 00:03:52,000 --> 00:03:55,880 Speaker 1: long targeted infants in China, has added the older generation 81 00:03:55,960 --> 00:03:58,720 Speaker 1: to its focus in the world's second most populous nation. 82 00:03:59,040 --> 00:04:01,160 Speaker 2: So the infant formula ate agree where a two place 83 00:04:01,240 --> 00:04:04,600 Speaker 2: is shrinking in China, that's because of the one child policy. However, 84 00:04:05,120 --> 00:04:09,119 Speaker 2: there are a lot more older Chinese people, so they're 85 00:04:09,160 --> 00:04:12,760 Speaker 2: pushing into the market. It's about things like products that 86 00:04:12,760 --> 00:04:16,000 Speaker 2: support immunity, bone gut, heart health. With about one and 87 00:04:16,000 --> 00:04:18,400 Speaker 2: a half billion dollars that senior's market, that's where a 88 00:04:18,480 --> 00:04:18,960 Speaker 2: T is going. 89 00:04:19,760 --> 00:04:21,880 Speaker 1: Early contender for my favorite story of the week Sean 90 00:04:21,920 --> 00:04:26,000 Speaker 1: story number five. The world's skies are becoming crowded, which 91 00:04:26,040 --> 00:04:28,440 Speaker 1: is posing a risk to airlines now because you've got 92 00:04:28,560 --> 00:04:32,400 Speaker 1: rockets and drones and potentially flying taxis in the near future, 93 00:04:32,720 --> 00:04:34,640 Speaker 1: all starting to use airspace. 94 00:04:34,839 --> 00:04:38,640 Speaker 2: Huge number of new rockets pioneered by Elon Musk's SpaceX 95 00:04:38,960 --> 00:04:41,600 Speaker 2: is set to exacerbate the problem. As you grow in 96 00:04:41,600 --> 00:04:44,640 Speaker 2: commercial space industry will share airspace used by tens of 97 00:04:44,680 --> 00:04:48,440 Speaker 2: thousands of passenger planes. Meanwhile, drones and the expected emergence 98 00:04:48,520 --> 00:04:54,200 Speaker 2: of electric vertical takeoff and landing aircraft EV tolls love 99 00:04:54,240 --> 00:04:56,839 Speaker 2: that acronym flying taxis bitter way of putting it. I 100 00:04:56,839 --> 00:04:58,839 Speaker 2: think they're set to complicate the management of the lower 101 00:04:58,920 --> 00:05:01,679 Speaker 2: levels of airspace through which planes take off and land. 102 00:05:01,720 --> 00:05:04,160 Speaker 2: According to the ft. The number of passenger planes is 103 00:05:04,240 --> 00:05:06,120 Speaker 2: forecast to grow by a third to more than thirty 104 00:05:06,120 --> 00:05:09,320 Speaker 2: six thousand aircraft by twenty thirty four. That's what Oliver Wyman, 105 00:05:09,360 --> 00:05:12,080 Speaker 2: a consultancy, reckons. By that point they'll be sharing the 106 00:05:12,080 --> 00:05:15,599 Speaker 2: skies with more than ten thousand ev tolls according to Bain, 107 00:05:16,040 --> 00:05:19,320 Speaker 2: and thousands of rocket launches. Getting pretty crowded up there. 108 00:05:19,360 --> 00:05:21,840 Speaker 2: We already saw it. Only in the last month Quants 109 00:05:21,880 --> 00:05:24,840 Speaker 2: delayed flights between Australia and South Africa after the US 110 00:05:24,920 --> 00:05:28,400 Speaker 2: government warned about the risk of space X rocket parts 111 00:05:28,440 --> 00:05:29,640 Speaker 2: re entering the atmosphere. 112 00:05:29,839 --> 00:05:31,720 Speaker 1: It's already becoming an issue. There we go, the top 113 00:05:31,760 --> 00:05:34,120 Speaker 1: five business stories in five minutes. Thank you Sean, Thank 114 00:05:34,160 --> 00:05:36,839 Speaker 1: you Michael. It is Tuesday, the eighteenth of February twenty 115 00:05:36,880 --> 00:05:39,320 Speaker 1: twenty five. Remember to hit follow on the podcast and 116 00:05:39,360 --> 00:05:41,719 Speaker 1: if five minutes isn't enough, you can find our longer 117 00:05:41,800 --> 00:05:45,080 Speaker 1: daily show called Fear and Greed wherever you listen to podcasts. 118 00:05:45,160 --> 00:05:47,239 Speaker 1: I'm Michael Thompson and that was the fast five business 119 00:05:47,320 --> 00:05:49,360 Speaker 1: news by Fear and Greed. Have a great day.