1 00:00:03,880 --> 00:00:06,800 Speaker 1: It's Thursday, the seventeenth of October twenty twenty four. 2 00:00:07,040 --> 00:00:07,680 Speaker 2: Welcome to the. 3 00:00:07,640 --> 00:00:10,160 Speaker 1: Fast five Business News by Fear and Greed, where we 4 00:00:10,160 --> 00:00:12,000 Speaker 1: give you the top five business stories you need to 5 00:00:12,039 --> 00:00:15,120 Speaker 1: know in it's five minutes. I'm Miuchale Thompson and good morning. 6 00:00:14,920 --> 00:00:17,560 Speaker 2: Sean aylmer Ay, Good morning Michael, Sean. 7 00:00:17,680 --> 00:00:20,720 Speaker 1: Five stories in five minutes. Let's go Story number one. 8 00:00:20,960 --> 00:00:24,840 Speaker 1: Quantus is the airline of choice for federal politicians, with 9 00:00:24,920 --> 00:00:28,880 Speaker 1: more than ninety percent of domestic flights for parliamentarians and 10 00:00:28,880 --> 00:00:32,400 Speaker 1: their staff booked on Quantus or at subsidiary Jetstar. 11 00:00:33,080 --> 00:00:35,559 Speaker 2: That's up from seventy five percent a decade ago. According 12 00:00:35,560 --> 00:00:39,880 Speaker 2: to the Independent Parliamentary Expenses Authority, Virgin share has gone 13 00:00:39,880 --> 00:00:43,080 Speaker 2: from twenty two percent ten years ago to just nine 14 00:00:43,120 --> 00:00:45,840 Speaker 2: percent now. Quantus is more expensive, so it does beg 15 00:00:45,880 --> 00:00:49,879 Speaker 2: the question why a disproportionate amount of travel on the 16 00:00:49,960 --> 00:00:52,760 Speaker 2: national carrier. Don't really know the answer to that one. 17 00:00:52,960 --> 00:00:58,480 Speaker 2: According to the Independent Parliamentary Expenses Authority guidelines, parliamentarians must 18 00:00:58,600 --> 00:01:02,600 Speaker 2: ensure that flight's booked provide value for money. That's probably 19 00:01:02,640 --> 00:01:04,280 Speaker 2: in the eye the behold of it. Certainly there's a 20 00:01:04,360 --> 00:01:07,280 Speaker 2: moral imperative defined value I would have thought depends on 21 00:01:07,360 --> 00:01:10,080 Speaker 2: roots and times. But in highly trafficked flights, Quantus is 22 00:01:10,120 --> 00:01:14,440 Speaker 2: still chosen Sydney Melbourne Brisbane flights or Quantus was paid 23 00:01:14,520 --> 00:01:17,440 Speaker 2: more than four times what Version was paid. Last year, 24 00:01:17,480 --> 00:01:20,120 Speaker 2: politicians spent twenty eight point six million dollars on domestic 25 00:01:20,160 --> 00:01:23,360 Speaker 2: flights pre pandemic was about twenty four million dollars. 26 00:01:23,920 --> 00:01:26,120 Speaker 1: Sure, it's an interesting point, this idea of kind of 27 00:01:26,120 --> 00:01:29,280 Speaker 1: where the government spends its money for business as usual products. 28 00:01:29,680 --> 00:01:32,039 Speaker 1: What else do we know though about kind of the 29 00:01:32,080 --> 00:01:34,440 Speaker 1: travel arrangements and the way these things are made. 30 00:01:34,720 --> 00:01:38,480 Speaker 2: Well, the Department of Finance oversees travel arrangements. They're about 31 00:01:38,480 --> 00:01:41,039 Speaker 2: twenty supplies involved. As you could imagine, the government's a 32 00:01:41,040 --> 00:01:43,640 Speaker 2: good client because it pays its invoices and it pays 33 00:01:43,680 --> 00:01:46,840 Speaker 2: them on time in terms of bookings. Corporate Travel Management, 34 00:01:46,880 --> 00:01:50,120 Speaker 2: the ASX listed group has a contract CTM. Corporate Travel 35 00:01:50,120 --> 00:01:54,639 Speaker 2: Management also oversees the domestic accommodation program, domestic and international travel. 36 00:01:54,640 --> 00:01:57,840 Speaker 2: Apart from virgin and quantas a bunch of international airlines 37 00:01:57,840 --> 00:02:01,400 Speaker 2: in that British Airways, catheps Emirates Guitar and he had 38 00:02:01,440 --> 00:02:05,160 Speaker 2: Singapore the car rental company of choice hurts and the 39 00:02:05,240 --> 00:02:08,560 Speaker 2: trouble and procurement payment services partner is National Australia Bank. 40 00:02:09,080 --> 00:02:11,520 Speaker 1: All right, let's move on to story number two now, Shawn. 41 00:02:11,560 --> 00:02:15,320 Speaker 1: The Reserve Bank's chief economist, Sarah Hunter yesterday said the 42 00:02:15,360 --> 00:02:18,880 Speaker 1: Central Bank was constantly alert for science that high levels 43 00:02:18,960 --> 00:02:21,320 Speaker 1: of inflation will become entrenched. 44 00:02:21,840 --> 00:02:24,640 Speaker 2: The good news is she thinks that prices are on 45 00:02:24,680 --> 00:02:27,079 Speaker 2: the way back to that two to three percent target 46 00:02:27,160 --> 00:02:29,560 Speaker 2: that the Reserve Bank wants to see. The risk is 47 00:02:29,600 --> 00:02:33,160 Speaker 2: that if individuals, businesses and investors don't think they're coming 48 00:02:33,200 --> 00:02:36,160 Speaker 2: back to that target, then it might become self fulfilling 49 00:02:36,360 --> 00:02:39,880 Speaker 2: and they won't arrive back. If that happens and inflation 50 00:02:40,040 --> 00:02:44,280 Speaker 2: expectations are elevated, then it becomes much much harder to 51 00:02:44,360 --> 00:02:48,880 Speaker 2: get prices lower. What happens works demand higher wages because 52 00:02:48,880 --> 00:02:51,640 Speaker 2: they think inflation is higher. Supplies expect more for products 53 00:02:51,680 --> 00:02:54,680 Speaker 2: because I think inflation is higher. Consumers are actually willing 54 00:02:54,680 --> 00:02:57,880 Speaker 2: to pay more for goods. The idea, this idea of 55 00:02:57,960 --> 00:03:03,640 Speaker 2: de anchoring inflation expectations is a real problem. It triggers 56 00:03:03,680 --> 00:03:06,160 Speaker 2: volatility in the market. We don't think rates are going 57 00:03:06,200 --> 00:03:10,080 Speaker 2: to move anytime soon, and that is helping anchor those 58 00:03:10,240 --> 00:03:12,240 Speaker 2: inflationary expectations at the moment. 59 00:03:12,280 --> 00:03:15,760 Speaker 1: Shawn story number three. The Commonwealth Bank held its annual 60 00:03:15,840 --> 00:03:19,520 Speaker 1: General Meeting yesterday in Adelaide, and Boss Matt Common said 61 00:03:19,560 --> 00:03:21,720 Speaker 1: the domestic economy remained sound. 62 00:03:22,280 --> 00:03:24,560 Speaker 2: He was pretty upbeat, though he warned that inflation is 63 00:03:24,600 --> 00:03:27,800 Speaker 2: staying higher for longer and households are finding it tough. 64 00:03:27,919 --> 00:03:29,840 Speaker 2: Over the past year, the Commonwealth Banks off about one 65 00:03:29,919 --> 00:03:33,680 Speaker 2: hundred and thirty two thousand tailored hardship payment arrangements to customers. 66 00:03:34,360 --> 00:03:36,840 Speaker 2: He was very upbeat about regional branches. He wants them 67 00:03:36,840 --> 00:03:38,920 Speaker 2: to stay open. He also said, in fact, was the 68 00:03:39,400 --> 00:03:42,800 Speaker 2: chair of the meeting, Paul O'Malley talking about AI technologies 69 00:03:42,800 --> 00:03:46,720 Speaker 2: and the bank really wants to embrace AI. Istrali Ali 70 00:03:46,800 --> 00:03:49,760 Speaker 2: said it's a valuable tool that will improve customer service 71 00:03:49,760 --> 00:03:54,240 Speaker 2: and combat financial crime. He said embracing more advanced technology 72 00:03:54,760 --> 00:03:57,000 Speaker 2: is one of the vital issues for the bank over 73 00:03:57,040 --> 00:03:59,160 Speaker 2: the next five to ten years. Who also spoke about 74 00:03:59,160 --> 00:04:02,120 Speaker 2: the need to support commit exposed to the transition to 75 00:04:02,160 --> 00:04:07,000 Speaker 2: cleaner energy. About thirty thousand customers are dependent on carbon transitioning. 76 00:04:07,400 --> 00:04:09,920 Speaker 2: He also interestingly said that the banks blocked or slowed 77 00:04:09,920 --> 00:04:12,720 Speaker 2: down transactions to crypto platforms on the back of the 78 00:04:12,800 --> 00:04:15,960 Speaker 2: concerns about the level of scans in fraud tied to 79 00:04:16,120 --> 00:04:17,280 Speaker 2: crypto products. 80 00:04:17,640 --> 00:04:21,560 Speaker 1: Story number four. Rio Tinto is reviewing its strategy for 81 00:04:21,640 --> 00:04:25,080 Speaker 1: its flagship Australian iron all division after it shipped higher 82 00:04:25,080 --> 00:04:29,200 Speaker 1: than normal volumes of low grade material in the September quarter. 83 00:04:29,800 --> 00:04:32,320 Speaker 2: Raw shipped a week and then expected eighty four point 84 00:04:32,400 --> 00:04:34,880 Speaker 2: five million tons of ore from Western Australia in three 85 00:04:34,880 --> 00:04:37,680 Speaker 2: months to September thirty and nineteen percent of those volumes 86 00:04:37,720 --> 00:04:40,240 Speaker 2: were lower grade. Now, the challenge for Rio is that 87 00:04:40,279 --> 00:04:43,000 Speaker 2: it underinvested a few years back that's coming home to 88 00:04:43,040 --> 00:04:45,120 Speaker 2: buy it with a lower grade or likely to be 89 00:04:45,120 --> 00:04:47,120 Speaker 2: a higher proportion of sales at least in the next 90 00:04:47,120 --> 00:04:51,800 Speaker 2: couple of years. Next year it's a Cimmindal Mountains project 91 00:04:51,839 --> 00:04:54,880 Speaker 2: in Guinea, or kick into line that's high grade, or 92 00:04:55,480 --> 00:04:57,840 Speaker 2: but analysts is just a little bit worried about the 93 00:04:57,839 --> 00:05:00,839 Speaker 2: long term implications of low grade or in the next 94 00:05:00,839 --> 00:05:03,160 Speaker 2: few years. Rea share price closed down one and a 95 00:05:03,160 --> 00:05:04,200 Speaker 2: half percent yesterday. 96 00:05:04,720 --> 00:05:07,000 Speaker 1: Finally, sean story number five, what do you make of 97 00:05:07,000 --> 00:05:10,239 Speaker 1: this one? The love child of late packaging magnate Richard 98 00:05:10,240 --> 00:05:13,680 Speaker 1: Pratt can challenge the billionaire family for her slice of 99 00:05:13,680 --> 00:05:17,240 Speaker 1: the fortune after an attempt by her half siblings to 100 00:05:17,320 --> 00:05:19,359 Speaker 1: have the case thrown out of court failed. 101 00:05:19,839 --> 00:05:22,240 Speaker 2: Paula Hitchcock twenty seventy is the child of mister Pratt, 102 00:05:22,279 --> 00:05:25,039 Speaker 2: who died in two thousand and nine, and his longtime mistress, 103 00:05:25,120 --> 00:05:28,120 Speaker 2: Sherry Lee Hitchcock. Paul Hitchcock alleges she's as much of 104 00:05:28,160 --> 00:05:32,159 Speaker 2: Pratt as her siblings. She alleges she is, for the 105 00:05:32,200 --> 00:05:35,119 Speaker 2: purposes of the family trust, a child of both mister 106 00:05:35,160 --> 00:05:38,000 Speaker 2: Pratt and his wife Jean. According to the Finn Review, 107 00:05:38,320 --> 00:05:41,400 Speaker 2: Miss Hitchcock has been pursuing her half siblings in the 108 00:05:41,440 --> 00:05:44,360 Speaker 2: Supreme Court in New South Wales since twenty twenty two, 109 00:05:44,800 --> 00:05:47,960 Speaker 2: alleging the trust was wrongly amended back in two thousand 110 00:05:47,960 --> 00:05:50,839 Speaker 2: and one to exclude her and those changes should be 111 00:05:50,880 --> 00:05:53,680 Speaker 2: thrown out. Siblings argue Miss Hitchcock cannot be considered the 112 00:05:53,760 --> 00:05:57,160 Speaker 2: child of their mother because she has her own mother. 113 00:05:57,520 --> 00:06:00,000 Speaker 2: The Pratt fortune is worth about twenty seven billion dollars, 114 00:06:00,080 --> 00:06:02,600 Speaker 2: most of which is made up of the busy packaging 115 00:06:02,640 --> 00:06:03,760 Speaker 2: and recycling empire. 116 00:06:03,920 --> 00:06:05,880 Speaker 1: All right, there we go, the top five business stories 117 00:06:05,920 --> 00:06:08,880 Speaker 1: in five minutes. Thank you, Sean Thank you, Michael. It 118 00:06:08,960 --> 00:06:11,839 Speaker 1: is Thursday, the seventeenth of October twenty twenty four. Remember 119 00:06:11,839 --> 00:06:14,400 Speaker 1: to hit follow on the podcast and five minutes isn't enough. 120 00:06:14,400 --> 00:06:16,479 Speaker 1: You can find our longer daily show called Fear and 121 00:06:16,520 --> 00:06:20,000 Speaker 1: Greed wherever you listen to podcasts and out Every Thursday, 122 00:06:20,000 --> 00:06:22,640 Speaker 1: there's a new episode of The Property Pendulum, brought to 123 00:06:22,640 --> 00:06:26,040 Speaker 1: you by Fear and Greed and Domain. This week we 124 00:06:26,080 --> 00:06:28,680 Speaker 1: are looking at the lengths that some people will go 125 00:06:28,760 --> 00:06:31,560 Speaker 1: to to secure the keys to their next home. We 126 00:06:31,600 --> 00:06:34,200 Speaker 1: are talking about bribes to agents. We're talking about sending 127 00:06:34,240 --> 00:06:36,919 Speaker 1: beer and champagne and baked goods and even writing letters 128 00:06:37,360 --> 00:06:40,279 Speaker 1: to the seller of a property hoping to swing it 129 00:06:40,320 --> 00:06:42,919 Speaker 1: their way. You can find The Property Pendulum wherever you 130 00:06:42,960 --> 00:06:44,560 Speaker 1: listen to podcasts as well, and I'll put a link 131 00:06:44,560 --> 00:06:46,720 Speaker 1: in today's show notes. I'm Michael Thompson and that was 132 00:06:46,760 --> 00:06:49,159 Speaker 1: the Fast five Business news by Fear and Greed. Have 133 00:06:49,240 --> 00:06:52,120 Speaker 1: a great day.