1
00:00:04,120 --> 00:00:06,640
Speaker 1: Welcome to the Saturday edition of the Fast Five Business

2
00:00:06,680 --> 00:00:09,240
Speaker 1: News by Fear and Greed. Are Michael Thompson and Hello,

3
00:00:09,320 --> 00:00:12,400
Speaker 1: Sean Aylmer, Hello Michael john. On weekdays, it's all about

4
00:00:12,400 --> 00:00:14,840
Speaker 1: the Fast five, the top five business stories in five minutes.

5
00:00:14,880 --> 00:00:16,599
Speaker 1: On the weekend, of course, we're still keeping it the

6
00:00:16,600 --> 00:00:18,560
Speaker 1: five minutes. It wouldn't be the Fast five if we didn't.

7
00:00:18,720 --> 00:00:21,360
Speaker 1: But we are going to pick out some different categories.

8
00:00:21,440 --> 00:00:23,040
Speaker 1: So I said it, the biggest story of the week,

9
00:00:23,079 --> 00:00:26,400
Speaker 1: the most kind of remarkable or that kind of vibe

10
00:00:26,440 --> 00:00:29,680
Speaker 1: story already bringing vibes into the show. This is going

11
00:00:29,720 --> 00:00:31,720
Speaker 1: to be a good one, a mystery category, and then

12
00:00:31,760 --> 00:00:35,040
Speaker 1: our favorite story of the week. Let's jump straight into it.

13
00:00:35,280 --> 00:00:39,640
Speaker 1: What was the biggest story of the week that was

14
00:00:39,720 --> 00:00:43,360
Speaker 1: nothing to do with markets right then? And also nothing

15
00:00:43,440 --> 00:00:47,879
Speaker 1: to do with the royals and Jeffrey Epstein and Andrew

16
00:00:48,120 --> 00:00:49,400
Speaker 1: Mountbatan windsor.

17
00:00:49,360 --> 00:00:54,280
Speaker 2: Okay, discount those two areas. Probably the economy. What we

18
00:00:54,320 --> 00:00:56,720
Speaker 2: found out this week unemployment rate four point one percent.

19
00:00:57,360 --> 00:01:00,840
Speaker 2: There was eighty thousand jump overall in jobs, but fifty

20
00:01:00,960 --> 00:01:05,920
Speaker 2: thousand full time equivalent jumps, so fifty thousand extra jobs.

21
00:01:05,920 --> 00:01:08,360
Speaker 2: There a loss of thirty three thousand part time. That

22
00:01:08,440 --> 00:01:10,600
Speaker 2: means people are moving from part time to full time,

23
00:01:10,920 --> 00:01:13,759
Speaker 2: many more workers out there. We also found out that

24
00:01:13,840 --> 00:01:17,080
Speaker 2: real wages went backwards last year, so we got the

25
00:01:17,880 --> 00:01:22,200
Speaker 2: wage price index out. Basically, wages went up less than inflation,

26
00:01:22,319 --> 00:01:24,560
Speaker 2: means you can pay you can't buy as much with

27
00:01:24,600 --> 00:01:27,120
Speaker 2: your paypacket. We also got the Reserve Bank minutes that

28
00:01:27,360 --> 00:01:31,880
Speaker 2: just kind of emphasized that inflation and the rise in

29
00:01:31,880 --> 00:01:33,119
Speaker 2: inflation is broadly based.

30
00:01:33,200 --> 00:01:33,759
Speaker 3: Put all that.

31
00:01:33,680 --> 00:01:37,240
Speaker 2: Together, looks like we might be getting a reat hike

32
00:01:37,400 --> 00:01:38,639
Speaker 2: in the next couple of months.

33
00:01:39,040 --> 00:01:42,000
Speaker 1: The other big story, Sean, I think is almost like

34
00:01:42,319 --> 00:01:45,039
Speaker 1: it's almost not a big story. It's kind of the

35
00:01:45,040 --> 00:01:49,840
Speaker 1: fact that that politics is back opposition. The opposition is

36
00:01:49,880 --> 00:01:52,240
Speaker 1: back in action right for the first time in a

37
00:01:52,280 --> 00:01:55,520
Speaker 1: long time, the Liberal Party is not tearing itself apart.

38
00:01:56,320 --> 00:01:58,640
Speaker 1: This week we had Angus Taylor and Jane Hume, the

39
00:01:58,680 --> 00:02:02,560
Speaker 1: two leadership the new leaders the leadership team of the

40
00:02:02,560 --> 00:02:07,000
Speaker 1: Libs are setting in place two things. Their team so

41
00:02:07,080 --> 00:02:11,160
Speaker 1: appointing all of the shadow ministers and their policy platform.

42
00:02:11,240 --> 00:02:12,840
Speaker 1: And we know that they are going to be focusing

43
00:02:12,919 --> 00:02:16,600
Speaker 1: on immigration for one thing, and lower taxes and really

44
00:02:16,639 --> 00:02:19,799
Speaker 1: trying to kind of nail the government on that economic issue,

45
00:02:20,000 --> 00:02:22,840
Speaker 1: and it just suddenly feels like maybe this is the

46
00:02:22,880 --> 00:02:26,840
Speaker 1: beginning of an actual opposition that is able to do

47
00:02:26,880 --> 00:02:29,000
Speaker 1: what an opposition can do or should do, which is

48
00:02:29,080 --> 00:02:32,560
Speaker 1: hold a government to account. Early days. But I mean

49
00:02:33,720 --> 00:02:37,440
Speaker 1: the pieces are all there, right, all right, most so

50
00:02:37,480 --> 00:02:40,400
Speaker 1: normally we do our most remarkable story. We're going to

51
00:02:40,480 --> 00:02:42,880
Speaker 1: do our most important results. Because there were so many

52
00:02:42,919 --> 00:02:48,360
Speaker 1: results out this week, Can I suggest BHP sure a

53
00:02:48,400 --> 00:02:51,720
Speaker 1: bumper profit up twenty two percent to six point two

54
00:02:51,880 --> 00:02:54,400
Speaker 1: billion US dollars for the half at share price hit

55
00:02:54,440 --> 00:02:57,040
Speaker 1: a record, the big Australian just getting even bigger, right.

56
00:02:57,800 --> 00:03:00,679
Speaker 1: But the thing that is most remarkable, and what's important

57
00:03:00,680 --> 00:03:02,800
Speaker 1: about this is the fact that this is the first

58
00:03:02,840 --> 00:03:06,519
Speaker 1: time that copper has delivered a greater share of revenue

59
00:03:06,680 --> 00:03:11,000
Speaker 1: than iron ore. BHP has been undergoing this enormous transformation

60
00:03:12,160 --> 00:03:15,000
Speaker 1: over a period of years where it has been getting

61
00:03:15,000 --> 00:03:17,880
Speaker 1: more and more into copper and it is becoming a bigger,

62
00:03:17,919 --> 00:03:20,400
Speaker 1: bigger part of its business, and this week we saw

63
00:03:20,720 --> 00:03:23,600
Speaker 1: the results that showed it has actually tipped the scales

64
00:03:23,639 --> 00:03:28,480
Speaker 1: towards copper, which is a mineral, a metal required for

65
00:03:28,600 --> 00:03:30,760
Speaker 1: the future. It is a big result this week.

66
00:03:30,560 --> 00:03:32,320
Speaker 3: Sean, congratulations the HPR.

67
00:03:32,320 --> 00:03:35,320
Speaker 2: I just mentioned Telstra one point three million shareholders, two

68
00:03:35,360 --> 00:03:37,840
Speaker 2: point five billion dollars over the six months, up fourteen percent.

69
00:03:37,840 --> 00:03:40,440
Speaker 2: Mobile business doing well, cut the workforce that helped the

70
00:03:40,440 --> 00:03:44,400
Speaker 2: bottom line. What is really important here is that many

71
00:03:44,480 --> 00:03:48,000
Speaker 2: many retirees live off their dividends. Telstra is a big

72
00:03:48,040 --> 00:03:52,520
Speaker 2: dividend payer. Good result for Telstra. Good result for retirees

73
00:03:52,720 --> 00:03:54,120
Speaker 2: who rely on that income.

74
00:03:54,360 --> 00:03:56,840
Speaker 1: Yeah, there's a lot of people needing that waiting for

75
00:03:56,880 --> 00:04:02,040
Speaker 1: those dividend checks. That's awesome. Okay, favorite result, Sean, this

76
00:04:02,200 --> 00:04:03,600
Speaker 1: is our mystery category of the week.

77
00:04:03,680 --> 00:04:06,120
Speaker 3: What you like? I mean, I don't know. It's my

78
00:04:06,160 --> 00:04:07,000
Speaker 3: favorite result.

79
00:04:07,040 --> 00:04:10,840
Speaker 2: Buy now, pay later company Zipco how to disappoint the market.

80
00:04:10,920 --> 00:04:13,119
Speaker 2: It missed on profit, it missed on guidance. It said

81
00:04:13,160 --> 00:04:15,160
Speaker 2: bad debts were higher bad debts of the cloud on

82
00:04:15,200 --> 00:04:18,640
Speaker 2: the buy and in our pay later groups Horizon. The

83
00:04:18,680 --> 00:04:21,120
Speaker 2: CEO Cynthia Scott came out and she said Zip's a

84
00:04:21,200 --> 00:04:24,440
Speaker 2: high growth, efficient and sustainably profitable business using AI to

85
00:04:24,520 --> 00:04:27,200
Speaker 2: improve customer engagement. So what investors do?

86
00:04:27,480 --> 00:04:28,039
Speaker 3: Sell it off?

87
00:04:28,240 --> 00:04:34,120
Speaker 2: Forty percent? Forty percent worse than the other leguards this

88
00:04:34,240 --> 00:04:37,880
Speaker 2: year Nick Scarley Promedica's Temple and Webster. How can a

89
00:04:37,920 --> 00:04:41,160
Speaker 2: CEO say one thing and it get dumped so much

90
00:04:41,279 --> 00:04:44,359
Speaker 2: the other way forty percent. It did bounce somewhat, But

91
00:04:44,839 --> 00:04:47,280
Speaker 2: what it does show is I think it's time CEOs

92
00:04:47,400 --> 00:04:51,320
Speaker 2: we're a little more upfront about what's happening in their business.

93
00:04:51,760 --> 00:04:55,880
Speaker 1: That is an absolute hammering. The one that I liked

94
00:04:55,920 --> 00:04:59,080
Speaker 1: looking at this week was Wes Farmers, right, and it's

95
00:04:59,160 --> 00:05:03,560
Speaker 1: just because this company owns so many retailers that we

96
00:05:03,640 --> 00:05:06,840
Speaker 1: all know and use. In terms of Bunnings, which contributes

97
00:05:06,880 --> 00:05:10,839
Speaker 1: fifty seven percent of earnings to West Farmers, at Kmart

98
00:05:10,880 --> 00:05:13,960
Speaker 1: makes up twenty eight percent. Office Works is in their targets,

99
00:05:13,960 --> 00:05:16,480
Speaker 1: in their price liners in there. There's also other assets

100
00:05:16,560 --> 00:05:22,359
Speaker 1: like lithium assets. It's a pretty interesting company. But what

101
00:05:22,560 --> 00:05:26,119
Speaker 1: was really interesting we're talking about leaders kind of needing

102
00:05:26,160 --> 00:05:29,479
Speaker 1: to be honest about the state of the industry. And

103
00:05:29,560 --> 00:05:33,480
Speaker 1: Rob Scott, the CEO of Wes Farmers, spoke to you

104
00:05:33,520 --> 00:05:36,880
Speaker 1: this week on the Fear and Greed podcast Seawan talking

105
00:05:36,920 --> 00:05:40,600
Speaker 1: about the fact that customers are under pressure, that residential

106
00:05:40,640 --> 00:05:43,520
Speaker 1: construction remains subdued, but low income households as well. That

107
00:05:43,839 --> 00:05:45,960
Speaker 1: kind of do tend to shop as well at kmart

108
00:05:46,279 --> 00:05:50,279
Speaker 1: under pressure from it rising inflation, under pressure from rising

109
00:05:50,320 --> 00:05:55,640
Speaker 1: interest rates, and that is it doesn't augur well for

110
00:05:55,760 --> 00:05:58,680
Speaker 1: retailers in that space. And the company was sold off

111
00:05:58,680 --> 00:06:01,320
Speaker 1: a bit as a result of that. Favorite story. We're

112
00:06:01,360 --> 00:06:01,919
Speaker 1: running out of.

113
00:06:01,920 --> 00:06:04,400
Speaker 3: Top of here. I think we agree on this one, Michael.

114
00:06:04,920 --> 00:06:09,440
Speaker 1: I think we might. It is what is unfolding in

115
00:06:09,480 --> 00:06:12,120
Speaker 1: the federal court, the A Triple C versus Cold And

116
00:06:12,200 --> 00:06:14,599
Speaker 1: I've just talked about retailers, and this is a big one.

117
00:06:15,279 --> 00:06:18,440
Speaker 1: This is all about what is a discount, what is

118
00:06:18,480 --> 00:06:21,360
Speaker 1: a sale when things are on special? What does that

119
00:06:21,440 --> 00:06:23,640
Speaker 1: actually mean? And we had a case that the A

120
00:06:23,720 --> 00:06:26,119
Speaker 1: Triple C was siting here and it was dog food,

121
00:06:26,240 --> 00:06:28,599
Speaker 1: where dog food was advertised by Coals. It had been

122
00:06:28,640 --> 00:06:31,160
Speaker 1: four dollars for a year, right, and then all of

123
00:06:31,200 --> 00:06:34,760
Speaker 1: a sudden it jumped up to six dollars for one

124
00:06:34,839 --> 00:06:37,800
Speaker 1: week and then a big sale, a big special was

125
00:06:37,800 --> 00:06:40,039
Speaker 1: announced and I went down to four dollars fifty, which

126
00:06:40,080 --> 00:06:41,880
Speaker 1: is still more than what customers have been paying for

127
00:06:41,920 --> 00:06:44,320
Speaker 1: a very long time. And so this is working its

128
00:06:44,320 --> 00:06:46,279
Speaker 1: way through the court. It's not a good look for Colds.

129
00:06:46,320 --> 00:06:48,640
Speaker 1: Woolies is up against something similar later in the year.

130
00:06:48,680 --> 00:06:51,719
Speaker 1: It is a pr disaster, but it is just a

131
00:06:51,800 --> 00:06:56,240
Speaker 1: fascinating insight into way supermarkets allegedly operate and what it

132
00:06:56,240 --> 00:06:58,360
Speaker 1: means for customers. Now, I just think it's fascinating.

133
00:06:58,640 --> 00:06:59,880
Speaker 3: Yeah, absolutely agree.

134
00:07:00,040 --> 00:07:01,640
Speaker 1: All right, there we go five minutes and pretty much

135
00:07:01,640 --> 00:07:03,120
Speaker 1: everything you need to know in the world of business.

136
00:07:03,240 --> 00:07:04,960
Speaker 3: Thank you, Sean, Thank you Michael.

137
00:07:05,080 --> 00:07:07,279
Speaker 1: Don't forget to hit follow on the podcast, which is

138
00:07:07,360 --> 00:07:10,400
Speaker 1: very important. If you're listening to this podcast through your

139
00:07:10,480 --> 00:07:14,040
Speaker 1: Daily Drive playlist on Spotify, that playlist is disappearing very soon,

140
00:07:14,120 --> 00:07:16,480
Speaker 1: so please hit follow on the Fast five so you

141
00:07:16,520 --> 00:07:19,160
Speaker 1: get it every single day. I'm Michael Thompson and this

142
00:07:19,240 --> 00:07:21,160
Speaker 1: is the Fast five Business News by Fear and Greed.

143
00:07:21,440 --> 00:07:24,760
Speaker 1: Have a great day.