1 00:00:03,460 --> 00:00:07,230 Michael Thompson: It's Monday 4th October 2021. Welcome to the Fear and 2 00:00:07,230 --> 00:00:09,539 Michael Thompson: Greed Business Headlines, where we give you the top five 3 00:00:09,539 --> 00:00:12,030 Michael Thompson: business stories you need to know in just five minutes. 4 00:00:12,260 --> 00:00:14,270 Michael Thompson: I'm Michael Thompson and good morning, Sean Aylmer. 5 00:00:14,460 --> 00:00:15,160 Sean Aylmer: Morning, Michael. 6 00:00:15,370 --> 00:00:19,250 Michael Thompson: Five stories, five minutes. Let's get into it. September lived 7 00:00:19,260 --> 00:00:21,290 Michael Thompson: up to its reputation as being a bad month for 8 00:00:21,290 --> 00:00:25,130 Michael Thompson: shares. The local market was down nearly 3%. That continued 9 00:00:25,130 --> 00:00:28,560 Michael Thompson: on Friday with the market falling another 2%. What can 10 00:00:28,560 --> 00:00:31,090 Michael Thompson: we expect now, as we run into October? 11 00:00:31,420 --> 00:00:34,309 Sean Aylmer: What a good question, Michael. I don't think anyone's quite 12 00:00:34,310 --> 00:00:36,850 Sean Aylmer: got the answer. For the whole month of September, the 13 00:00:36,850 --> 00:00:40,729 Sean Aylmer: market was down 2.7%. That has kept a 35- year 14 00:00:40,729 --> 00:00:44,050 Sean Aylmer: trend going, that September's the worst month of the year. US 15 00:00:44,620 --> 00:00:47,720 Sean Aylmer: shares were actually down nearly 5% during the month. Where 16 00:00:47,720 --> 00:00:50,500 Sean Aylmer: to now? Well AMP Capital's, Shane Oliver put a note 17 00:00:50,500 --> 00:00:52,979 Sean Aylmer: out over the weekend, suggesting that in the next few weeks, 18 00:00:52,979 --> 00:00:55,840 Sean Aylmer: there's still a risk of a severe correction. We still 19 00:00:55,840 --> 00:00:58,060 Sean Aylmer: may be going backwards quite a bit. He said being 20 00:00:58,060 --> 00:01:00,770 Sean Aylmer: highly sensitive to the global growth cycle means the local 21 00:01:00,770 --> 00:01:04,610 Sean Aylmer: share market is more vulnerable to some international concerns, such 22 00:01:04,610 --> 00:01:07,850 Sean Aylmer: as the slowdown in China, the energy crisis in parts of Europe, think 23 00:01:07,850 --> 00:01:11,230 Sean Aylmer: about all those UK petrol station queues. And certainly, there's 24 00:01:11,230 --> 00:01:13,569 Sean Aylmer: an energy crisis in Asia as well. And of course, 25 00:01:13,600 --> 00:01:17,530 Sean Aylmer: there's rising inflationary pressures. Dr. Oliver also highlighted the need 26 00:01:17,530 --> 00:01:20,340 Sean Aylmer: for very, very high vaccination rates to prevent spikes in 27 00:01:20,340 --> 00:01:22,709 Sean Aylmer: cases around the country. So I think we'll end up 28 00:01:22,709 --> 00:01:25,230 Sean Aylmer: having a choppy few weeks in front of us. 29 00:01:25,480 --> 00:01:28,400 Michael Thompson: All right. That's story number one. Onto story number two, a 30 00:01:28,940 --> 00:01:31,730 Michael Thompson: bit of a COVID update. Let's start with New South Wales. 31 00:01:31,930 --> 00:01:33,800 Sean Aylmer: Well, it's good news out of New South Wales, it's 32 00:01:33,800 --> 00:01:37,529 Sean Aylmer: likely to hit a 70% vaccination target in the next 33 00:01:37,530 --> 00:01:39,500 Sean Aylmer: couple of days. That's great news for everyone in that 34 00:01:39,500 --> 00:01:43,280 Sean Aylmer: state because that's when restrictions start to ease. Its recorded 35 00:01:43,280 --> 00:01:46,390 Sean Aylmer: cases are on the decline, particularly in the Sydney region. Though, 36 00:01:46,390 --> 00:01:49,480 Sean Aylmer: not so much in rural parts of the state. Unfortunately 37 00:01:49,480 --> 00:01:52,610 Sean Aylmer: the same can't be said of Victoria. Premier Daniel Andrews, 38 00:01:52,720 --> 00:01:56,910 Sean Aylmer: yesterday announced 1,220 cases. Though, he did say it would 39 00:01:56,910 --> 00:01:58,870 Sean Aylmer: only be a few more weeks till freedoms would be 40 00:01:58,870 --> 00:02:01,570 Sean Aylmer: allowed for the state. There were 38 cases in the ACT 41 00:02:02,000 --> 00:02:05,059 Sean Aylmer: yesterday and none in Queensland, which of course allowed the 42 00:02:05,060 --> 00:02:06,529 Sean Aylmer: football to go ahead last night. 43 00:02:06,700 --> 00:02:09,639 Michael Thompson: All right, Sean. Story number three, we've spoken a lot 44 00:02:09,639 --> 00:02:13,049 Michael Thompson: about the housing market and just the extraordinary growth over 45 00:02:13,050 --> 00:02:16,190 Michael Thompson: the last 12 to 18 months. The housing market just 46 00:02:16,190 --> 00:02:17,130 Michael Thompson: doesn't want to give up. 47 00:02:17,330 --> 00:02:19,769 Sean Aylmer: Ah, crazy. If you're a first home buyer, how do 48 00:02:19,770 --> 00:02:22,530 Sean Aylmer: you get into a market like Sydney, or Melbourne, or 49 00:02:22,530 --> 00:02:24,820 Sean Aylmer: any of the capital cities for that matter? It's incredible. 50 00:02:25,130 --> 00:02:29,380 Sean Aylmer: CoreLogic figures released on Friday show that nationally house prices 51 00:02:29,419 --> 00:02:33,210 Sean Aylmer: rose at more than 20% for the year ended last month. 52 00:02:33,530 --> 00:02:37,279 Sean Aylmer: And in Sydney, property was up 29%. The median price 53 00:02:37,280 --> 00:02:42,700 Sean Aylmer: of a house in Sydney is now $1.4 million. It is crazy. 54 00:02:42,770 --> 00:02:45,700 Sean Aylmer: And those figures provide yet another reason why regulators are 55 00:02:45,700 --> 00:02:48,050 Sean Aylmer: likely to jump in and try and take the heat 56 00:02:48,190 --> 00:02:50,540 Sean Aylmer: out of the market. I just don't think we're going 57 00:02:50,540 --> 00:02:53,200 Sean Aylmer: to see these sorts of price rises being sustained. 58 00:02:53,550 --> 00:02:56,989 Michael Thompson: All right. Story number four, on Friday, we saw the 59 00:02:57,030 --> 00:03:00,780 Michael Thompson: shock resignation of New South Wales Premier, Gladys Berejiklian. Now 60 00:03:00,790 --> 00:03:04,580 Michael Thompson: over the weekend, the general reaction has been fairly sympathetic 61 00:03:04,669 --> 00:03:07,230 Michael Thompson: to Ms. Berejiklian and pretty respectful of the job that 62 00:03:07,230 --> 00:03:10,590 Michael Thompson: she's done running the state, not just during the COVID 63 00:03:10,590 --> 00:03:12,760 Michael Thompson: crisis, but for the four and a half years that 64 00:03:12,760 --> 00:03:14,300 Michael Thompson: she was premier. What's next? 65 00:03:14,570 --> 00:03:17,370 Sean Aylmer: Well, I think it started very sympathetic, but as the 66 00:03:17,370 --> 00:03:20,790 Sean Aylmer: weekend moved on people became a little bit harder on 67 00:03:20,790 --> 00:03:24,260 Sean Aylmer: their view of Gladys Berejiklian and particularly her relationship with 68 00:03:24,260 --> 00:03:27,410 Sean Aylmer: Daryl Maguire and some of the funding arrangements around her, 69 00:03:27,410 --> 00:03:30,810 Sean Aylmer: who got what at different times during her tenure. Now 70 00:03:30,810 --> 00:03:33,300 Sean Aylmer: the Liberal Party will gather, that's tomorrow to elect a 71 00:03:33,300 --> 00:03:37,390 Sean Aylmer: new leader with the Treasurer, Dominic Perrottet favoured over Planning Minister, 72 00:03:37,640 --> 00:03:40,070 Sean Aylmer: Rob Stokes. The other news out of that state was 73 00:03:40,070 --> 00:03:43,660 Sean Aylmer: that Transport Minister Andrew Constance has quit and will run 74 00:03:43,660 --> 00:03:47,130 Sean Aylmer: for the seat of Gilmore in Federal Parliament, next election. 75 00:03:47,400 --> 00:03:50,390 Sean Aylmer: What I love though, Michael, is it's incredible that Gladys Berejiklian this 76 00:03:50,390 --> 00:03:52,960 Sean Aylmer: time a week ago, this time three days ago was 77 00:03:52,960 --> 00:03:55,340 Sean Aylmer: front and centre. And in fact, she was actually in 78 00:03:55,340 --> 00:03:58,780 Sean Aylmer: the AFR's power list. She was the most powerful person 79 00:03:58,780 --> 00:04:03,050 Sean Aylmer: in the country, along with her other premiers. Yet by today, Monday, 80 00:04:03,470 --> 00:04:06,160 Sean Aylmer: not quite forgotten, but it's amazing how quickly they can 81 00:04:06,160 --> 00:04:07,270 Sean Aylmer: fade from the limelight. 82 00:04:07,640 --> 00:04:09,290 Michael Thompson: Well there's some people aren't forgetting. Did you see there 83 00:04:09,290 --> 00:04:11,900 Michael Thompson: was a campaign over the weekend of the, Put your 84 00:04:11,900 --> 00:04:14,650 Michael Thompson: Blazers out for Gladys. And people putting their blazers out 85 00:04:14,650 --> 00:04:15,500 Michael Thompson: on their mailboxes. 86 00:04:17,210 --> 00:04:18,280 Sean Aylmer: Oh, dear. I didn't know that. 87 00:04:19,000 --> 00:04:21,600 Michael Thompson: All right. Onto story number five. And this is one 88 00:04:21,600 --> 00:04:24,210 Michael Thompson: of my favourite things to talk about. I love Tesla's, 89 00:04:24,330 --> 00:04:26,110 Michael Thompson: but I don't think I'll ever be able to afford one. 90 00:04:26,200 --> 00:04:27,100 Michael Thompson: Tell me what's going on. 91 00:04:27,510 --> 00:04:33,609 Sean Aylmer: Well, Tesla delivered 241,000 cars worldwide during the September quarter. 92 00:04:34,000 --> 00:04:37,729 Sean Aylmer: That's a record for the electric car maker. Now Tesla 93 00:04:37,730 --> 00:04:40,719 Sean Aylmer: is pretty much seen as a barometer of consumer demand 94 00:04:40,720 --> 00:04:44,820 Sean Aylmer: for electric vehicles. And as the world transitions away from 95 00:04:44,820 --> 00:04:48,839 Sean Aylmer: internal combustion engine, these numbers suggest that is accelerating and 96 00:04:48,839 --> 00:04:53,169 Sean Aylmer: the pace of the rollout of EVs will expand quickly. Of course, 97 00:04:53,290 --> 00:04:56,680 Sean Aylmer: Europe is going full throttle. Pardon the pun. The U.S. 98 00:04:56,940 --> 00:04:59,130 Sean Aylmer: is actually going pretty quickly, but Australia is still lagging 99 00:04:59,130 --> 00:05:00,049 Sean Aylmer: a fair way behind. 100 00:05:00,390 --> 00:05:02,580 Michael Thompson: All right, there we go. Five stories in five minutes. 101 00:05:02,580 --> 00:05:03,450 Michael Thompson: Thank you very much, Sean. 102 00:05:03,560 --> 00:05:04,200 Sean Aylmer: Thanks, Michael. 103 00:05:04,450 --> 00:05:08,250 Michael Thompson: It's Monday 4th October 2021. Remember to hit follow on 104 00:05:08,250 --> 00:05:11,010 Michael Thompson: the podcast and if five minutes isn't quite enough, then 105 00:05:11,010 --> 00:05:13,370 Michael Thompson: you can find our longer podcast called Fear and Greed 106 00:05:13,370 --> 00:05:16,270 Michael Thompson: on your podcast platform. You can always find more info 107 00:05:16,420 --> 00:05:19,679 Michael Thompson: at fearandgreed.com.au and as well, sign up for our free 108 00:05:19,680 --> 00:05:23,070 Michael Thompson: daily newsletter. I'm Michael Thompson, and that was Fear and Greed. 109 00:05:23,100 --> 00:05:23,780 Michael Thompson: Have a great day.