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Speaker 1: It's Monday, the first of December 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. I'm Michael Thompson

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Speaker 1: and good morning Sean Aylmer.

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Speaker 2: Good morning, Michael, Sean.

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Speaker 1: Five stories in five minutes. Let's go story number one.

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Speaker 1: With one month to go before the end of the year,

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Speaker 1: the local share market sits at the bottom of the

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Speaker 1: global league tables when it comes to performance, with the

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Speaker 1: S and PASX two hundred up just five percent in

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Speaker 1: the first eleven months of twenty twenty five.

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Speaker 2: That compares to more than twenty percent in Canada and Japan,

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Speaker 2: sixteen percent in Britain and Germany, twelve to fourteen percent

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Speaker 2: for the major indices in US and China, and about

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Speaker 2: eleven percent for Europe. There are a number of reasons

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Speaker 2: for the underperformance. The first is that the Australian market

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Speaker 2: is overweight banks and financials, and the major lenders, particularly

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Speaker 2: come Wolf Bank, have underperformed. In fact, on Friday, Commonwelf

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Speaker 2: Bank closed lower than where it started this year. Also,

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Speaker 2: her biggest mining stocks of the ainol producers not really

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Speaker 2: a forward looking on me. Generally the best performers globally

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Speaker 2: have been tech in new economy businesses now. Another reason

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Speaker 2: is he record flow of money into overseas focused exchange

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Speaker 2: traded funds here In fact, five of the top twenty

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Speaker 2: ets in Australia are focused or fifteen of the twenty

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Speaker 2: are focused offshore. A third reason donald Trump's tariffs. Although

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Speaker 2: he has dialed back on the retrick recently, that's helped

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Speaker 2: some markets. And a fourth reason is that while interest

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Speaker 2: rates in Australia now seem to be on whold, US

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Speaker 2: rates are expected to fall this month. That should help

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Speaker 2: Wall Street.

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Speaker 1: All right, plenty of reasons there. The big question, and

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Speaker 1: possibly the harder one as well, Sean, is this going

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Speaker 1: to continue? Is the Australian underperformance likely to keep going

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Speaker 1: through to the end of the year and beyond.

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Speaker 2: Let's lead that one to the experts. Amp Shane Olivers

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Speaker 2: at share markets for a main at risk of a

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Speaker 2: further correction given stretched valuations, risks around US tariffs and

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Speaker 2: the stuffing US jobs market, but with the FEDS too

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Speaker 2: likely to cut rates further, shares are likely to provide

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Speaker 2: reasonable gains in a twelvemonth. Horizonbs's equity strategist Richard Schulback

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Speaker 2: reckons the ASEX two hundred will only rise about three

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Speaker 2: percent over the next twelve months. Other investment banks, like

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Speaker 2: Goldman's reckon that Wall Street will underperform other global indices. Alas,

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Speaker 2: I mean, I don't really know, but certainly the local

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Speaker 2: market has had a poor twenty twenty five relative to

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Speaker 2: its peers. Not good for local investors, including everyone with superannuation.

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Speaker 1: Okay, let's move on to story number two. Now and

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Speaker 1: national home values across the country rose by one percent

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Speaker 1: during November. That is the third consecutive month of strong growth.

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Speaker 1: The mid sized capitals outperformed Perth up two point four percent.

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Speaker 1: Sydney and Melbourne underperformed Sydney zero point five percent, Melbourne

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Speaker 1: zero point three percent. According to Cotality, the bias towards

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Speaker 1: mid sized capitals in part reflect the lack of listing,

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Speaker 1: so the national average is sixteen percent below what's normal.

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Speaker 1: Sydney is just two percent. That explains why that market

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Speaker 1: isn't as hot after three straight months of strong growth.

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Speaker 1: Affordability pressures and a lack of further.

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Speaker 2: Interest rate cuts. Loom Dampner's in the future catalities. Tim

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Speaker 2: Lawless said, this subtle. It's very subtle. Easing in the

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Speaker 2: headline result last month comes as auction clearance rates have

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Speaker 2: tracked lower. In fact, the national result over the last

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Speaker 2: week was sixty eight point two percent, which is actually

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Speaker 2: below the long term average.

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Speaker 1: While we're talking property, I mentioned story number three now Sean.

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Speaker 1: The federal government's Helped to Buy scheme kicks off this week,

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Speaker 1: whereby first home buyers can share equity in their homes

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Speaker 1: with the government so as to purchase a property sooner.

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Speaker 2: The program will provide ten thousand load to medium income

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Speaker 2: first home buyers each year the ability to purchase a

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Speaker 2: home with just a two percent deposit. The government will

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Speaker 2: contribute thirty to forty percent of the home price in

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Speaker 2: exchange for equity. You only can then buy that out later.

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Speaker 2: While the government said it won't put pressure on prices,

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Speaker 2: it is a demand side policy, not a supply side policy,

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Speaker 2: so it's hard to see that it won't push up

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Speaker 2: prices in that segment of the market.

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Speaker 1: Story number four, the Tax Office will crack down on

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Speaker 1: high end income professionals and tradees who pursue aggressive tax

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Speaker 1: evasion strategies by splitting income with their spouses and children.

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Speaker 2: The ATA has identified elevated levels of excessive income splitting

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Speaker 2: by people who use trust companies and partnerships to divert

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Speaker 2: income to family members on lower tax rates. It's issued

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Speaker 2: updated guidance that spells out exactly what it will allow

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Speaker 2: when it applies to the anti avoidance measures to so

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Speaker 2: called professional services. Income CAPS is not just doctors, lawyers, architects,

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Speaker 2: but also tradees, electricians, plumbers, et cetera. A personal service

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Speaker 2: business basically is any operation where most of the money

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Speaker 2: made is generated by personal skill, labor, or expertise. The

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Speaker 2: action is likely to affect many thousands of personal service

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Speaker 2: businesses that use income splitting strategies. Worth noting, ATO won't

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Speaker 2: backdate its compliance push if taxpayers make a genuine effort

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Speaker 2: to move their arrangement into low risk by June thirty,

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Speaker 2: twenty twenty seven.

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Speaker 1: All right, last one seaw and we talked share markets,

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Speaker 1: We've talked trusts and property and everything. It's hard to

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Speaker 1: go to this one, but let's do it. Researchers so

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Speaker 1: found that cats me out more frequently when greeting male caregivers,

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Speaker 1: probably because men don't listen as well.

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Speaker 2: The study in the General Ethology filmed inside cat owners' homes. Now,

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Speaker 2: you can't do much in laboratories. Dogs tend to be

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Speaker 2: well behaved in laboratories. Cats done anyway. The study found

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Speaker 2: that cats me ow more when men enter a room.

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Speaker 2: According to a report in The New York Times, across

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Speaker 2: all demographic variables, including the sex and age of the cat,

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Speaker 2: pedigree status, number of cats in the home, only one

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Speaker 2: fact was linked to vocalization frequency the biological sex of

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Speaker 2: the caregiver. So on average, cats produced four point three

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Speaker 2: meals in the first one hundred seconds of a male

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Speaker 2: caregiver getting home for a woman who is just one

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Speaker 2: point eight. The team at Bilkin University in Turkey hypothesized

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Speaker 2: that men require more explicit vocalizations to notice and respond

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Speaker 2: to the needs of their cats. In other words, men

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Speaker 2: don't listen as much kats just their behavior accordingly.

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Speaker 1: All right, there we go the top five business stories

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Speaker 1: in five minutes. Thank you Sean, Thank you Michael. It's Monday,

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Speaker 1: the first of December twenty twenty five. Remember to hit

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Speaker 1: follow on the podcast and five minutes isn't enough you

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Speaker 1: and find our longer daily show called Fear and Greed

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Speaker 1: whereever you listen to podcasts and head along to Fearangreed

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Speaker 1: dot com dot au, or check the link in today's

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Speaker 1: show notes to sign up for our free daily newsletter

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Speaker 1: as well. I'm Michael Thompson and that was the past

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Speaker 1: five business news by Fear and Greed. Had a great day.