1 00:00:06,360 --> 00:00:08,879 Speaker 1: This is the weekend edition of Fear and Greed, daily 2 00:00:08,920 --> 00:00:11,280 Speaker 1: business news for people who make their own decisions. I'm 3 00:00:11,280 --> 00:00:13,160 Speaker 1: Michael Thompson and good morning, Sean. 4 00:00:13,240 --> 00:00:15,600 Speaker 2: Aylmer. Good morning, Michael, Sean. 5 00:00:15,800 --> 00:00:18,720 Speaker 1: Our weekend show is very different to our weekday show. 6 00:00:18,720 --> 00:00:21,400 Speaker 1: The weekday show is all about It's all about the news, really, 7 00:00:21,440 --> 00:00:24,000 Speaker 1: isn't it. And the weekend show is about the news still, 8 00:00:24,360 --> 00:00:28,840 Speaker 1: but it is basically the news competing against itself. Well, 9 00:00:28,920 --> 00:00:31,040 Speaker 1: between the two of us, I suppose we're each nominating 10 00:00:31,040 --> 00:00:33,480 Speaker 1: what we think is the biggest story of the week, 11 00:00:33,800 --> 00:00:37,720 Speaker 1: the most remarkable business story of the week, a sleeper 12 00:00:38,120 --> 00:00:42,199 Speaker 1: business story of the week, and then our favorite story. 13 00:00:42,800 --> 00:00:45,720 Speaker 1: We need a judge. Obviously, every week we are joined 14 00:00:45,960 --> 00:00:49,320 Speaker 1: by an adjudicator who is very fair. He sticks to 15 00:00:49,360 --> 00:00:54,720 Speaker 1: a very strict list of criteria that he changes at whim. 16 00:00:56,360 --> 00:00:59,440 Speaker 1: That judge is our Fear and Greed colleague, Adam Lang Adam, 17 00:00:59,440 --> 00:01:00,240 Speaker 1: good morning. 18 00:01:00,160 --> 00:01:02,480 Speaker 3: Good morning, Michael, and good morning Sean. 19 00:01:02,560 --> 00:01:06,120 Speaker 2: Morning, Adam morning. I like that idea that you stick 20 00:01:06,160 --> 00:01:09,119 Speaker 2: to your criteria which you change at a whim. 21 00:01:10,120 --> 00:01:11,679 Speaker 1: Do you want to just very quickly give us the 22 00:01:11,840 --> 00:01:13,880 Speaker 1: I mean, we know what the four categories that we're 23 00:01:13,880 --> 00:01:16,640 Speaker 1: coming in here, the biggest story, most remarkable spleeper in 24 00:01:16,640 --> 00:01:20,679 Speaker 1: our favorite But what are you looking for in it? Okay, hypothetically, 25 00:01:21,040 --> 00:01:23,320 Speaker 1: if this was kind of an environment in which the 26 00:01:23,400 --> 00:01:26,560 Speaker 1: rules actually mattered and the judgments actually had some kind 27 00:01:26,600 --> 00:01:30,320 Speaker 1: of credibility behind them, what would you be looking for here, Adam? 28 00:01:30,400 --> 00:01:33,080 Speaker 2: Yeah? I mean, what's the constitution, say, Adam, that we 29 00:01:33,200 --> 00:01:34,720 Speaker 2: set up two and a half years ago when we 30 00:01:34,760 --> 00:01:36,760 Speaker 2: started the weekend show. What's it saying? 31 00:01:37,640 --> 00:01:44,759 Speaker 4: The hypothetical criteria are topicality, timeliness, economic impact, subjective bias, 32 00:01:44,800 --> 00:01:48,720 Speaker 4: that's my subjective bias, of course, and melodrama something uniquely 33 00:01:48,720 --> 00:01:49,560 Speaker 4: suited to Michael. 34 00:01:50,040 --> 00:01:51,720 Speaker 2: He needs all the help he can get. 35 00:01:52,040 --> 00:01:55,000 Speaker 1: Well, remember last week, Adam got the order wrong of 36 00:01:55,040 --> 00:02:00,400 Speaker 1: his criteria and he accidentally listed melodrama first, which that 37 00:02:00,480 --> 00:02:02,160 Speaker 1: it was the main thing that he was looking for. 38 00:02:02,200 --> 00:02:05,480 Speaker 1: I thought, oh, here we go. I'm in here and 39 00:02:05,560 --> 00:02:06,720 Speaker 1: I still lost. 40 00:02:07,320 --> 00:02:09,760 Speaker 2: So on the back of that, on the back of that, 41 00:02:09,840 --> 00:02:13,160 Speaker 2: and you have had I mean, I'm not skuiding, but 42 00:02:13,280 --> 00:02:16,440 Speaker 2: you have had thousands of losses. Well, you've had quite 43 00:02:16,440 --> 00:02:20,600 Speaker 2: a few losses recently. So this week was obviously a 44 00:02:20,600 --> 00:02:24,239 Speaker 2: big week for the budget. So Michael, this week you 45 00:02:24,280 --> 00:02:26,640 Speaker 2: get to go first with the biggest story of the week. 46 00:02:27,480 --> 00:02:28,160 Speaker 3: Thank you, Sean. 47 00:02:28,480 --> 00:02:31,200 Speaker 1: And you were generous last week and you actually called 48 00:02:31,200 --> 00:02:34,120 Speaker 1: it last weekend on the weekend edition and said that 49 00:02:34,200 --> 00:02:37,359 Speaker 1: I could do the budget this weekend, which I kind 50 00:02:37,360 --> 00:02:40,720 Speaker 1: of well, I accepted that because it is the biggest story. 51 00:02:40,760 --> 00:02:42,280 Speaker 1: It was the biggest story last week. It should have 52 00:02:42,280 --> 00:02:44,760 Speaker 1: won last week. And it's been the biggest story of 53 00:02:44,800 --> 00:02:49,200 Speaker 1: the week just gone. Because the budget is big. I 54 00:02:49,240 --> 00:02:50,920 Speaker 1: mean that obviously seems it. 55 00:02:50,960 --> 00:02:52,840 Speaker 3: Seems strong entry there. 56 00:02:53,000 --> 00:02:55,880 Speaker 2: Yeah, you got to do better than that, Okay, all right. 57 00:02:56,320 --> 00:03:00,480 Speaker 1: The federal budget is all encompassing in its impact on everyone. 58 00:03:00,639 --> 00:03:04,040 Speaker 1: Covers business, it covers the economy, it covers politics. It 59 00:03:04,240 --> 00:03:08,280 Speaker 1: is huge. There is so much in this right. But 60 00:03:08,880 --> 00:03:11,160 Speaker 1: I can only give I mean, in the what how 61 00:03:11,240 --> 00:03:13,320 Speaker 1: much time I got allocated to me? What eighteen minutes 62 00:03:13,320 --> 00:03:15,880 Speaker 1: here for this one? I can only give. I can 63 00:03:15,919 --> 00:03:18,360 Speaker 1: only give you a mere taste in the next thirty 64 00:03:18,360 --> 00:03:20,799 Speaker 1: seconds or so, shall we keep it short. Treasurer Jim 65 00:03:20,880 --> 00:03:26,519 Speaker 1: Chalmers delivered his second consecutive surplus nine point three billion dollars, 66 00:03:26,720 --> 00:03:29,679 Speaker 1: the first back to back surplus is in almost two decades. 67 00:03:29,800 --> 00:03:33,560 Speaker 1: But but the double butt. Don't get too used to it, 68 00:03:33,600 --> 00:03:36,280 Speaker 1: because from next year we're in for at least four 69 00:03:36,400 --> 00:03:39,760 Speaker 1: years of deficits, totally one hundred and twelve billion dollars. 70 00:03:39,840 --> 00:03:41,440 Speaker 1: At this stage, it was. 71 00:03:41,600 --> 00:03:43,320 Speaker 2: I like the idea of don't get used to a 72 00:03:43,360 --> 00:03:44,240 Speaker 2: double butt. 73 00:03:46,880 --> 00:03:46,920 Speaker 4: It. 74 00:03:46,920 --> 00:03:47,640 Speaker 2: I'll put you off. 75 00:03:48,320 --> 00:03:52,840 Speaker 1: You have, you've completely thrown me. This was, as you 76 00:03:52,880 --> 00:03:56,240 Speaker 1: pointed out this week, sean an election budget. And you 77 00:03:56,280 --> 00:03:58,200 Speaker 1: wrote about this in the Fear and Greed newsletter head 78 00:03:58,200 --> 00:04:00,600 Speaker 1: along to Fearangreed dot com DODA sign up for our 79 00:04:00,600 --> 00:04:01,760 Speaker 1: newsletter comes out every wind. 80 00:04:01,760 --> 00:04:03,200 Speaker 2: So I would get on with it? Would you get 81 00:04:03,240 --> 00:04:03,680 Speaker 2: on with it? 82 00:04:03,840 --> 00:04:04,520 Speaker 3: Did you like that? 83 00:04:04,880 --> 00:04:06,600 Speaker 1: Just to sneak a little plug into the middle of this, 84 00:04:06,720 --> 00:04:09,600 Speaker 1: they were still listening an election budget something. Oh, they'll 85 00:04:09,600 --> 00:04:12,360 Speaker 1: listened to this because there was something for everyone in 86 00:04:12,400 --> 00:04:16,520 Speaker 1: this budget, for tax cuts for every taxpayer, rental relief, 87 00:04:16,680 --> 00:04:19,880 Speaker 1: more funding for medicines. The one that everyone's been talking about, 88 00:04:19,880 --> 00:04:22,800 Speaker 1: the three hundred dollars power bill rebates for households. I 89 00:04:22,800 --> 00:04:24,360 Speaker 1: think it was three hundred and twenty five dollars for 90 00:04:24,440 --> 00:04:28,120 Speaker 1: small business. The reason why this one got everyone everyone 91 00:04:28,440 --> 00:04:31,080 Speaker 1: so worked up, and by everyone I mean economists, is 92 00:04:31,120 --> 00:04:34,000 Speaker 1: that the Treasure maintains it won't be inflationary. A lot 93 00:04:34,040 --> 00:04:37,640 Speaker 1: of economists disagree. A Treasury forecast suggests inflation could be 94 00:04:37,640 --> 00:04:39,560 Speaker 1: back in the target range by the end of the year. 95 00:04:39,960 --> 00:04:41,880 Speaker 1: I won't kind of get into all of that because 96 00:04:42,240 --> 00:04:44,880 Speaker 1: obviously it's fraught with danger if I start analyzing that. 97 00:04:45,240 --> 00:04:49,600 Speaker 1: But back to the politics of the budget. Something for everyone, right, 98 00:04:50,160 --> 00:04:53,360 Speaker 1: How did business react? Well, it depends, I suppose on 99 00:04:53,400 --> 00:04:55,719 Speaker 1: what business you're actually in. Some of the peak employer 100 00:04:55,720 --> 00:04:58,839 Speaker 1: groups wanted to see more budget repair, more savings, but 101 00:04:58,960 --> 00:05:02,120 Speaker 1: the miners, the miners were happy. Plenty of incentives to 102 00:05:02,160 --> 00:05:05,799 Speaker 1: invest in critical minerals, including about thirteen point seven billion 103 00:05:05,839 --> 00:05:08,840 Speaker 1: dollars in production tax credits as part of the Future 104 00:05:08,880 --> 00:05:11,600 Speaker 1: Made in Australia program. Keep in mind, though this still 105 00:05:11,640 --> 00:05:14,359 Speaker 1: has to pass Parliament and the opposition. I love this. 106 00:05:14,480 --> 00:05:17,160 Speaker 1: How about this, the opposition said at wine support billions 107 00:05:17,160 --> 00:05:20,200 Speaker 1: of dollars of handouts to billionaires. Just consider that for 108 00:05:20,240 --> 00:05:24,200 Speaker 1: a moment, the coalition here turning its back on the 109 00:05:24,240 --> 00:05:28,680 Speaker 1: big miners. These are fascinating and slightly bizarre times. As 110 00:05:28,760 --> 00:05:31,920 Speaker 1: for the Opposition, obviously, on Thursday night, Peter Dutton did 111 00:05:31,920 --> 00:05:34,960 Speaker 1: his budget and reply address. It covered a few kind 112 00:05:35,000 --> 00:05:38,120 Speaker 1: of key priorities for the opposition in terms of making 113 00:05:38,200 --> 00:05:42,200 Speaker 1: changes to foreign investment, really trying to solve the housing crisis, 114 00:05:42,720 --> 00:05:46,320 Speaker 1: and also cutting migration. What a week we only get. 115 00:05:46,440 --> 00:05:50,359 Speaker 1: We only get one of these a year. It's like 116 00:05:50,480 --> 00:05:53,800 Speaker 1: Christmas for economists and for the business community and for 117 00:05:53,839 --> 00:05:56,880 Speaker 1: everyday taxpayers like me. This week, in fact, I'll narrow 118 00:05:56,920 --> 00:06:00,280 Speaker 1: it down even further, not just this week, Tuesday night 119 00:06:00,560 --> 00:06:04,719 Speaker 1: is the most important night of the year, Adam. Write 120 00:06:04,720 --> 00:06:09,040 Speaker 1: this down because it determines the spending and taxing priorities 121 00:06:09,120 --> 00:06:11,880 Speaker 1: of the government and where this nation is headed. And 122 00:06:11,920 --> 00:06:15,239 Speaker 1: that affects every single business. It affects every single person 123 00:06:15,240 --> 00:06:17,440 Speaker 1: in this country. It is, without a doubt, the biggest 124 00:06:17,600 --> 00:06:18,880 Speaker 1: story of the week. 125 00:06:20,200 --> 00:06:24,239 Speaker 2: Nice effort, Michael, good try did your best. 126 00:06:26,480 --> 00:06:28,479 Speaker 1: However, you for the generosity there, Sean. 127 00:06:28,560 --> 00:06:31,200 Speaker 2: You are amazed that you can somehow make what should 128 00:06:31,279 --> 00:06:35,040 Speaker 2: be the biggest story of the week the second biggest 129 00:06:35,040 --> 00:06:41,599 Speaker 2: story of the week, Because, Michael Adam, economics is the 130 00:06:41,640 --> 00:06:44,760 Speaker 2: story of the week of which the budget played a part, 131 00:06:45,080 --> 00:06:49,520 Speaker 2: probably a minor part, but just apart. Now, let me explain, 132 00:06:50,240 --> 00:06:52,760 Speaker 2: we entered the week with a twenty percent chance of 133 00:06:52,800 --> 00:06:57,520 Speaker 2: a rate hike in Australia this year. We finish with 134 00:06:57,560 --> 00:07:00,400 Speaker 2: a fifty percent chance of a rate cut this year 135 00:07:00,400 --> 00:07:04,240 Speaker 2: in Australia. The budget was part of it, lower than 136 00:07:04,240 --> 00:07:08,880 Speaker 2: forecast inflation, slower than forecast economy, a higher than tipped 137 00:07:08,960 --> 00:07:12,920 Speaker 2: unemployment rate. That is all part of it, which supports 138 00:07:12,960 --> 00:07:16,000 Speaker 2: the other stuff that happened this week. Nothing was more 139 00:07:16,040 --> 00:07:18,920 Speaker 2: important for home owners this week and people with credit 140 00:07:19,000 --> 00:07:21,000 Speaker 2: cards and car loans and all that sort of stuff 141 00:07:21,680 --> 00:07:24,560 Speaker 2: than the unemployment rate, which jumped to four point one 142 00:07:24,600 --> 00:07:27,760 Speaker 2: percent even after a surge of new jobs. That's because 143 00:07:27,800 --> 00:07:30,440 Speaker 2: more people are looking for work. Both the growth of 144 00:07:30,480 --> 00:07:35,520 Speaker 2: employment and unemployment were higher than on economists expected. These 145 00:07:35,560 --> 00:07:37,920 Speaker 2: numbers demonstrate that the data jumps around a fair bit. 146 00:07:38,000 --> 00:07:39,640 Speaker 2: The message in all this, of course, is that the 147 00:07:39,680 --> 00:07:44,160 Speaker 2: trend is your friend, and the unemployment rate is trending higher. 148 00:07:44,520 --> 00:07:47,200 Speaker 2: Not really a surprise we've got higher interest rates, of course. 149 00:07:47,360 --> 00:07:49,560 Speaker 2: In fact, it's been surprising it hasn't gone higher than 150 00:07:49,560 --> 00:07:51,960 Speaker 2: what it is right now. That was one part of 151 00:07:52,000 --> 00:07:56,920 Speaker 2: the economics this week. Another part we had wage price 152 00:07:57,160 --> 00:08:01,440 Speaker 2: figures come out. It shows that the heat is coming 153 00:08:01,440 --> 00:08:04,920 Speaker 2: out of wage rises for most businesses. Wages are the 154 00:08:05,680 --> 00:08:08,240 Speaker 2: major cost, or at least a major cost for most 155 00:08:08,240 --> 00:08:11,160 Speaker 2: of them, the main cost. When they go up, businesses 156 00:08:11,240 --> 00:08:14,120 Speaker 2: charge more. Makes sense, so if wages aren't going up 157 00:08:14,160 --> 00:08:17,720 Speaker 2: as much, business is less likely to charge as much. 158 00:08:18,360 --> 00:08:20,640 Speaker 2: A third piece of information, this week we had weaker 159 00:08:20,680 --> 00:08:24,600 Speaker 2: than expected inflation figures in the US. Suddenly everyone expects 160 00:08:25,040 --> 00:08:28,080 Speaker 2: a rate cut in the world's biggest economy this year 161 00:08:28,200 --> 00:08:32,280 Speaker 2: possibly two. Put those three things together, in fact, four 162 00:08:32,320 --> 00:08:37,640 Speaker 2: things the budget forecasts from Treasury, the wage figures, the 163 00:08:37,679 --> 00:08:40,959 Speaker 2: consumer price index in the US, and the unemployment rate. 164 00:08:41,000 --> 00:08:44,199 Speaker 2: Here the whole landscape on rates has changed in the 165 00:08:44,280 --> 00:08:48,520 Speaker 2: last three or four days. Michael, I appreciate the effort 166 00:08:48,520 --> 00:08:51,280 Speaker 2: you made talking about stuff that probably won't pass ledges 167 00:08:51,400 --> 00:08:54,000 Speaker 2: past government. You know, all the mining stuff that'll all 168 00:08:54,040 --> 00:08:56,840 Speaker 2: be watered down, and the three hundred dollars thing. Yep, 169 00:08:56,960 --> 00:08:59,960 Speaker 2: definitely big story, the Stage three tax cuts, all that, 170 00:09:00,080 --> 00:09:02,520 Speaker 2: so we already knew about all that. The biggest story 171 00:09:02,600 --> 00:09:07,240 Speaker 2: this week, notwithstanding your excellent effort on the budget is economics. 172 00:09:07,559 --> 00:09:09,959 Speaker 2: No one will be tossing the sausage this weekend talking 173 00:09:10,000 --> 00:09:12,319 Speaker 2: about the budget. They'll be talking about interest rates. O. 174 00:09:12,440 --> 00:09:14,400 Speaker 2: But to you, I'm sorry. 175 00:09:14,080 --> 00:09:16,280 Speaker 1: This is a family show, Sean, it's. 176 00:09:16,160 --> 00:09:18,960 Speaker 2: On the barbecue. On the barbecues. Now that I think 177 00:09:19,000 --> 00:09:21,240 Speaker 2: of what I just said, take that back. No one 178 00:09:21,280 --> 00:09:25,400 Speaker 2: to be standing around the barbecue tossing the sausage talking budgets. 179 00:09:25,480 --> 00:09:27,080 Speaker 2: It's all about rates. Adam. 180 00:09:27,120 --> 00:09:31,360 Speaker 1: Over to you, Adam, Adam, you need to introduce a 181 00:09:31,600 --> 00:09:37,920 Speaker 1: sixth criteria here, which is moral decency and mark Sean down. 182 00:09:38,240 --> 00:09:39,120 Speaker 1: This is out righteous. 183 00:09:39,559 --> 00:09:42,000 Speaker 2: Just just be careful on that one. Be careful what 184 00:09:42,040 --> 00:09:44,120 Speaker 2: you wish for Michael on that one. 185 00:09:45,520 --> 00:09:46,199 Speaker 3: So good. 186 00:09:46,280 --> 00:09:48,640 Speaker 4: On the one hand, against you, Sean, we have the 187 00:09:48,880 --> 00:09:53,160 Speaker 4: Joseph intervention of choosing a box lot. 188 00:09:52,960 --> 00:09:57,920 Speaker 2: Those years ago. You don't reckon the budget with that 189 00:09:58,640 --> 00:09:59,559 Speaker 2: five different things. 190 00:10:01,000 --> 00:10:04,400 Speaker 1: It was the budget. It was the budget, one single story. 191 00:10:05,040 --> 00:10:09,240 Speaker 4: So these two things are very much linked in that 192 00:10:09,120 --> 00:10:15,240 Speaker 4: the budget being slightly expansionary and all these indications you describe, 193 00:10:15,280 --> 00:10:19,439 Speaker 4: Sean coming in lower means that this election budget, which 194 00:10:19,760 --> 00:10:21,560 Speaker 4: I agree with you and as you called it, the 195 00:10:21,559 --> 00:10:24,679 Speaker 4: election budget, they might get away with it as in 196 00:10:24,720 --> 00:10:29,679 Speaker 4: not pushing up interest rates. So I think they're both intertwined. 197 00:10:29,760 --> 00:10:31,440 Speaker 4: I have to give you a draw on this. 198 00:10:35,559 --> 00:10:37,920 Speaker 2: Oh look the joy on my face and the despair 199 00:10:38,000 --> 00:10:42,359 Speaker 2: on Michaels. That has made my week, Adam. You think 200 00:10:42,360 --> 00:10:45,120 Speaker 2: it's both so important, and then I'm with you. 201 00:10:45,200 --> 00:10:49,280 Speaker 4: There's counterbalance between the two. So excellent work. 202 00:10:49,880 --> 00:10:52,920 Speaker 2: Thank you, thank you. At Michael, you're not saying anything. 203 00:10:53,440 --> 00:10:58,400 Speaker 1: I have never been so tempted to storm out. 204 00:10:58,920 --> 00:11:03,720 Speaker 2: This is going to in the Annals of fear and greed. 205 00:11:04,920 --> 00:11:07,920 Speaker 2: Remember that week that Michael didn't win on the budget. 206 00:11:08,200 --> 00:11:09,360 Speaker 3: And it was a GIMMI. 207 00:11:10,840 --> 00:11:17,719 Speaker 1: But I'm actually speechless. I don't care if I win now, 208 00:11:19,640 --> 00:11:22,280 Speaker 1: you know, Okay, I'm not going to walk out. I'm 209 00:11:22,320 --> 00:11:25,800 Speaker 1: going to stand up for the everyday man, the common Joe. 210 00:11:27,040 --> 00:11:29,360 Speaker 1: I've even lost all my usual flourishers. 211 00:11:30,679 --> 00:11:33,080 Speaker 2: You're the one talking about the billionaire miners. I was 212 00:11:33,400 --> 00:11:34,439 Speaker 2: talking about the carlines. 213 00:11:34,679 --> 00:11:36,839 Speaker 1: Do you want to go onto the most remarkable story. 214 00:11:36,640 --> 00:11:40,640 Speaker 2: Sean, Yeah, I do. I got a crack ass a BS. 215 00:11:40,679 --> 00:11:47,520 Speaker 2: This is actually this just snuck it in there. Remarkable. Okay, 216 00:11:47,559 --> 00:11:50,079 Speaker 2: this this is one of the most remarkable stories, possibly 217 00:11:50,120 --> 00:11:53,360 Speaker 2: of the year. I know, I think you'll think you'll 218 00:11:53,400 --> 00:11:58,240 Speaker 2: agree with me, Adam. Meme stocks are back. That is 219 00:11:58,280 --> 00:12:05,199 Speaker 2: truly remarkable, surely and totally stupid. A bunch of them, 220 00:12:05,280 --> 00:12:09,680 Speaker 2: notably Game Stop and AMC surged this week as speculation 221 00:12:09,800 --> 00:12:14,280 Speaker 2: swirled around the return of social media giant the man himself, 222 00:12:14,400 --> 00:12:19,400 Speaker 2: Keith Gill, better known as Roaring Kitty. He was the 223 00:12:19,440 --> 00:12:23,280 Speaker 2: man who drove the mean stock mania of twenty twenty one. 224 00:12:23,679 --> 00:12:27,040 Speaker 2: The Roaring Kiddy post on x over the weekend showed 225 00:12:27,040 --> 00:12:30,200 Speaker 2: a man it's like a pencil drawing, a man leaning 226 00:12:30,240 --> 00:12:33,640 Speaker 2: forward with what looked like a gaming controller, which some 227 00:12:34,760 --> 00:12:37,840 Speaker 2: traders interpreted to mean that Gil is coming back into action. 228 00:12:38,360 --> 00:12:38,760 Speaker 3: That's all. 229 00:12:38,800 --> 00:12:43,240 Speaker 2: There was, just this pencil drawing. Gil, whose account has 230 00:12:43,240 --> 00:12:46,079 Speaker 2: been long dormant, shot to fame back in twenty twenty 231 00:12:46,120 --> 00:12:48,440 Speaker 2: one by rolling day traders on Reddit in an effort 232 00:12:48,440 --> 00:12:52,360 Speaker 2: to squeeze GameStop short sellers. Back then, he started posting 233 00:12:52,400 --> 00:12:55,160 Speaker 2: that game Stop was undervalued. Within a month, that went 234 00:12:55,160 --> 00:12:58,680 Speaker 2: from about seventeen bucks a share to almost five hundred 235 00:12:58,720 --> 00:13:01,000 Speaker 2: dollars a share. There was a time when people were 236 00:13:01,040 --> 00:13:04,120 Speaker 2: at home, presumably bored, that had money to spend because 237 00:13:04,120 --> 00:13:06,040 Speaker 2: they couldn't go on holidays because of COVID, so they 238 00:13:06,200 --> 00:13:10,240 Speaker 2: invested in meme stocks, and Roaring Kitty was at the 239 00:13:10,280 --> 00:13:13,920 Speaker 2: center of it. Now eventually there was a Congress investigation 240 00:13:14,000 --> 00:13:17,680 Speaker 2: into all this which you know. My favorite line in 241 00:13:17,720 --> 00:13:20,360 Speaker 2: that was rawing Kitty himself admitting that he was not 242 00:13:20,440 --> 00:13:26,640 Speaker 2: a cat anyway. He was back on the weekend, he 243 00:13:27,240 --> 00:13:30,200 Speaker 2: having disappeared for about three years. Back his past attracted 244 00:13:30,240 --> 00:13:33,480 Speaker 2: more than twelve million views in twelve hours. More than 245 00:13:33,520 --> 00:13:36,720 Speaker 2: one hundred and seventy five million game stop shares changed hands, 246 00:13:36,760 --> 00:13:41,800 Speaker 2: almost thirty times the one year average. In two sessions, 247 00:13:42,440 --> 00:13:46,440 Speaker 2: game stops share price almost quadrupled. It's come off a bit, 248 00:13:47,000 --> 00:13:49,560 Speaker 2: but it's still up a stack. Saying for movie theater 249 00:13:49,679 --> 00:13:54,480 Speaker 2: on a AMC all in the back of one pencil, 250 00:13:54,559 --> 00:13:59,760 Speaker 2: drawing one meme, it is more than remarkable. It is 251 00:14:00,120 --> 00:14:07,280 Speaker 2: pidity personified, good entry Adam, Yes, thanks. 252 00:14:07,880 --> 00:14:13,960 Speaker 1: Don't validate him mid round. Ah God, all right, here's 253 00:14:13,960 --> 00:14:17,720 Speaker 1: one for the underdogs, the most remarkable story this week. 254 00:14:18,720 --> 00:14:22,960 Speaker 2: What the underdogs? I'm talking about retail traders and means, 255 00:14:22,960 --> 00:14:24,840 Speaker 2: go on, get more underdog than that. 256 00:14:26,440 --> 00:14:28,320 Speaker 1: Okay, maybe I shouldn't have introduced this as one for 257 00:14:28,320 --> 00:14:30,440 Speaker 1: the underdogs, but the victory itself will be one for 258 00:14:30,480 --> 00:14:32,760 Speaker 1: the underdogs. The story is not really an underdog kind 259 00:14:32,800 --> 00:14:36,320 Speaker 1: of story. That's, in fact quite the opposite. What is 260 00:14:36,400 --> 00:14:40,760 Speaker 1: remarkable is that this week we are watching live in 261 00:14:40,880 --> 00:14:46,560 Speaker 1: real time right, an Australian corporate giant stalking its prey, 262 00:14:46,920 --> 00:14:48,400 Speaker 1: which is very very exciting. 263 00:14:48,520 --> 00:14:51,200 Speaker 2: Hold on, underdog, So which company are we talking about here? 264 00:14:51,560 --> 00:14:55,680 Speaker 1: I retracted the underdog comment and I just said the 265 00:14:55,760 --> 00:14:59,120 Speaker 1: underdog was in reference to me winning against you in 266 00:14:59,160 --> 00:14:59,600 Speaker 1: this round. 267 00:14:59,640 --> 00:15:02,360 Speaker 2: Okay, Okay, I know where you're going. 268 00:15:04,000 --> 00:15:08,560 Speaker 1: I'm talking about mining giant BHP, which doesn't, to be 269 00:15:08,640 --> 00:15:14,520 Speaker 1: fair exactly kind of scream underdog, right, but its pursuit 270 00:15:14,840 --> 00:15:20,920 Speaker 1: of rival Anglo American is without exaggeration, without melodyma really 271 00:15:21,080 --> 00:15:21,960 Speaker 1: quite thrilling. 272 00:15:22,600 --> 00:15:22,840 Speaker 2: Right. 273 00:15:23,480 --> 00:15:25,960 Speaker 1: So far this week we saw the second bid by BHP, 274 00:15:26,080 --> 00:15:28,400 Speaker 1: one that valued Anglo at about sixty four billion dollars, 275 00:15:28,440 --> 00:15:31,920 Speaker 1: rejected by the board, and then a twist, oh twist, 276 00:15:32,360 --> 00:15:35,840 Speaker 1: Anglo American unveiled a new strategy to investors which involved 277 00:15:35,880 --> 00:15:39,000 Speaker 1: selling or shutting all the company's assets except those producing copper, 278 00:15:39,040 --> 00:15:41,640 Speaker 1: iron ore and crop nutrients. In other words, they'd be 279 00:15:41,680 --> 00:15:44,760 Speaker 1: selling off the platinum and diamond businesses. If this sounds familiar, 280 00:15:44,960 --> 00:15:48,000 Speaker 1: and it might, it's because it's very very similar to 281 00:15:48,000 --> 00:15:50,480 Speaker 1: what BHP was proposing to do as part of its bid. 282 00:15:50,480 --> 00:15:53,680 Speaker 1: And the fascinating thing is that Anglo shareholders didn't like 283 00:15:53,720 --> 00:15:56,200 Speaker 1: it much when the management of that company proposed it, 284 00:15:56,400 --> 00:16:00,000 Speaker 1: the share price found. Now this is all playing out publicly, 285 00:16:00,240 --> 00:16:02,800 Speaker 1: very publicly, and the theater, the drama of it all 286 00:16:03,520 --> 00:16:07,040 Speaker 1: is what is so remarkable, especially when BHP boss Mike 287 00:16:07,040 --> 00:16:10,320 Speaker 1: Henry said that Anglo's plan validated his own proposal and 288 00:16:10,360 --> 00:16:12,480 Speaker 1: he would have preferred to discuss it privately with the 289 00:16:12,560 --> 00:16:17,440 Speaker 1: Anglo American board. And wait, how about this? If that 290 00:16:17,720 --> 00:16:19,960 Speaker 1: is not enough to get to you on the edge 291 00:16:20,000 --> 00:16:23,920 Speaker 1: of your seat, there is a deadline to this, a 292 00:16:24,040 --> 00:16:29,320 Speaker 1: ticking clock the whole time May two because of the 293 00:16:29,440 --> 00:16:32,520 Speaker 1: UK's put up or shut up takeover laws designed to 294 00:16:32,520 --> 00:16:35,440 Speaker 1: stop these things dragging out forever, to give certainty to 295 00:16:35,480 --> 00:16:40,040 Speaker 1: the companies involved and to markets. And Adam, Adam, because 296 00:16:40,040 --> 00:16:42,960 Speaker 1: I know you love talking about kind of takeovers and 297 00:16:43,000 --> 00:16:46,360 Speaker 1: all of these big deals. If that was not enough 298 00:16:46,680 --> 00:16:48,560 Speaker 1: to get your heart racing, and I can see you 299 00:16:48,600 --> 00:16:53,360 Speaker 1: are kind of clutching at your pearls. Yep, there is 300 00:16:53,400 --> 00:16:56,440 Speaker 1: another smaller deal that's had a heck of a week 301 00:16:56,520 --> 00:16:59,480 Speaker 1: two private. I no, I'm combining a second little one 302 00:16:59,480 --> 00:17:01,000 Speaker 1: in here, but had a little bit of flavor, a 303 00:17:01,000 --> 00:17:04,480 Speaker 1: little bit of kind of this is dessert. Private equity 304 00:17:04,520 --> 00:17:07,560 Speaker 1: group Anchorage Capital pulled out of a bid by AARN 305 00:17:07,640 --> 00:17:10,920 Speaker 1: to acquire a rival Southern Crosso Stereo in a deal 306 00:17:11,480 --> 00:17:16,840 Speaker 1: that had gone ahead would have changed the radio landscape 307 00:17:16,880 --> 00:17:20,840 Speaker 1: in Australia forever. And Adam, this is an environment that 308 00:17:20,920 --> 00:17:22,439 Speaker 1: you and I have spent a lot of time in 309 00:17:22,600 --> 00:17:27,200 Speaker 1: and it would have been unrecognizable. There are a whole 310 00:17:27,200 --> 00:17:29,800 Speaker 1: bunch of contributing factors to this one kind of falling 311 00:17:29,840 --> 00:17:34,360 Speaker 1: over among them. Among them was the cancelation of The Bachelor. 312 00:17:34,680 --> 00:17:37,560 Speaker 1: Can you believe it? But this deal looks to be dead. 313 00:17:37,920 --> 00:17:42,760 Speaker 1: Can it be revived? It's a cliffhanger. This whole story 314 00:17:43,000 --> 00:17:44,919 Speaker 1: is a cliffhanger, Adam. 315 00:17:45,760 --> 00:17:48,720 Speaker 4: Okay, So look, Sewan, actually I thought you did really 316 00:17:48,760 --> 00:17:53,800 Speaker 4: well on melodrama with that one, The Roaring Kitty Game Stop. 317 00:17:53,960 --> 00:17:57,640 Speaker 4: It is a remarkable story. BHP and Anglo American has 318 00:17:57,680 --> 00:17:59,720 Speaker 4: to win it. Though for me, I think that is remarkable. 319 00:18:00,119 --> 00:18:01,320 Speaker 4: You reported this week shown that. 320 00:18:01,520 --> 00:18:04,359 Speaker 2: Why is that remarkable? Well, the elements, I mean, it's 321 00:18:04,359 --> 00:18:06,760 Speaker 2: a sympathy win, I get that, but why is that remarkable? 322 00:18:06,920 --> 00:18:09,880 Speaker 2: Like truly, in terms of the category, why is it remarkable? 323 00:18:09,960 --> 00:18:16,840 Speaker 4: It's a scale No, it is the elements whereby BHP 324 00:18:17,000 --> 00:18:20,360 Speaker 4: put forward a bid Anglo rejected as opportunistic and blah 325 00:18:20,400 --> 00:18:23,640 Speaker 4: blah blah, almost the expected response, and then does exactly 326 00:18:23,680 --> 00:18:27,360 Speaker 4: what BHP will suggest expected expected response. 327 00:18:27,560 --> 00:18:30,040 Speaker 2: Yes, where's a remarkable factor in this is. 328 00:18:29,960 --> 00:18:33,320 Speaker 4: That the Anglo American decision to do almost exactly what 329 00:18:33,400 --> 00:18:34,760 Speaker 4: BHP was suggesting. 330 00:18:35,000 --> 00:18:37,080 Speaker 3: I thought that was remarkable and quite obvious. 331 00:18:37,080 --> 00:18:37,960 Speaker 2: Michael didn't say that. 332 00:18:38,080 --> 00:18:41,240 Speaker 1: Yes I did. I said all of that, and you 333 00:18:41,280 --> 00:18:42,880 Speaker 1: know what else, it's also the scale. 334 00:18:43,920 --> 00:18:46,719 Speaker 2: I regon that given on one that you didn't win 335 00:18:46,760 --> 00:18:48,720 Speaker 2: the budget one, I'm happy to lose this one, even 336 00:18:48,760 --> 00:18:50,840 Speaker 2: though mine was the meme stock story. Is the most 337 00:18:50,840 --> 00:18:54,320 Speaker 2: remarkable story of the year. I liked to say. It's 338 00:18:54,359 --> 00:18:57,800 Speaker 2: not like I'm going on the attack now. This is 339 00:18:57,880 --> 00:19:01,760 Speaker 2: ridiculous that I lost that good fire up, Sean, let's 340 00:19:01,760 --> 00:19:02,040 Speaker 2: do this. 341 00:19:02,119 --> 00:19:04,760 Speaker 1: We'll take a quick break and come back with a 342 00:19:04,800 --> 00:19:07,680 Speaker 1: sleeper story which doesn't really kind of sound particularly fire. 343 00:19:07,720 --> 00:19:15,879 Speaker 1: He doesn't, but we're going to find a good one, Sean. 344 00:19:16,040 --> 00:19:18,080 Speaker 1: We are looking for a sleeper story of sleeper stories, 345 00:19:18,119 --> 00:19:20,600 Speaker 1: of course, one that's flying under the radar a little bit, 346 00:19:20,760 --> 00:19:23,320 Speaker 1: or maybe not getting the attention that we feel it deserves. 347 00:19:25,760 --> 00:19:28,360 Speaker 1: Would I like to go first on this one? 348 00:19:28,960 --> 00:19:29,600 Speaker 2: Yes I would. 349 00:19:29,920 --> 00:19:31,240 Speaker 1: I was just as saysing what I was going to 350 00:19:31,280 --> 00:19:33,960 Speaker 1: talk about and seeing whether it was strong enough, like, oh, heck, 351 00:19:34,040 --> 00:19:35,160 Speaker 1: yes it is strong enough. 352 00:19:35,840 --> 00:19:38,520 Speaker 2: Good Lord, good Lord. 353 00:19:38,840 --> 00:19:41,680 Speaker 1: In the past, I have made the case for all 354 00:19:41,800 --> 00:19:48,040 Speaker 1: kinds of unlikely sleeper stories, right everything from AI to 355 00:19:48,080 --> 00:19:53,120 Speaker 1: the Rise of China. Rarely have I won making these 356 00:19:53,160 --> 00:19:54,000 Speaker 1: bold claims. 357 00:19:54,280 --> 00:19:56,479 Speaker 3: You did try the reverse sleeper ones. 358 00:19:56,880 --> 00:19:58,879 Speaker 1: This is what I'm saying. I have a habit of 359 00:19:59,000 --> 00:20:02,480 Speaker 1: choosing stories that are not sleeper stories and trying to 360 00:20:02,480 --> 00:20:07,480 Speaker 1: make them into sleepers, and I have not one today. Today. 361 00:20:08,440 --> 00:20:13,800 Speaker 1: That ends because today I put it to you that 362 00:20:13,920 --> 00:20:18,360 Speaker 1: the RBA has made some of the boldest, clearest statements 363 00:20:18,720 --> 00:20:21,600 Speaker 1: on the outlook for house prices and for rents, but 364 00:20:21,880 --> 00:20:25,000 Speaker 1: nobody's heard it. Nobody is listening right now because there 365 00:20:25,040 --> 00:20:28,200 Speaker 1: is too much other noise from the budget, from markets, 366 00:20:28,200 --> 00:20:31,680 Speaker 1: from the US. The fact is that the RBA chief 367 00:20:31,680 --> 00:20:37,000 Speaker 1: economist Sarah Hunter, has declared a perfect storm prevented the 368 00:20:37,080 --> 00:20:40,399 Speaker 1: construction industry from building more homes even though there is 369 00:20:40,440 --> 00:20:44,000 Speaker 1: plenty of demand. And worst of all, worst of all, 370 00:20:44,359 --> 00:20:47,680 Speaker 1: she says, there is no quick fix Normally, this high 371 00:20:47,760 --> 00:20:50,240 Speaker 1: level of demand would see an increase in supply, but 372 00:20:51,359 --> 00:20:54,080 Speaker 1: the industry has been struggling. They can't jump in. They 373 00:20:54,080 --> 00:20:56,880 Speaker 1: can't kind of suddenly just start building more homes because 374 00:20:56,880 --> 00:21:00,000 Speaker 1: they're still struggling with the backlog of projects from the COVID. 375 00:21:00,440 --> 00:21:02,960 Speaker 1: Finishing trades are in short supply. The cost of building 376 00:21:03,000 --> 00:21:06,800 Speaker 1: a new home is up a whopping forty percent in 377 00:21:07,000 --> 00:21:10,359 Speaker 1: just five years. These factors have all combined to force punters, 378 00:21:10,359 --> 00:21:13,760 Speaker 1: some developers and investors to either delay or scrap projects altogether. 379 00:21:13,960 --> 00:21:16,960 Speaker 1: They can't make any money out of them. The end result, 380 00:21:17,520 --> 00:21:21,320 Speaker 1: the end result is this alarming prognosis from the RBA 381 00:21:21,440 --> 00:21:23,680 Speaker 1: that house prices are going to keep rising, but also 382 00:21:23,760 --> 00:21:28,320 Speaker 1: this part that rents are going to keep going up too. 383 00:21:28,680 --> 00:21:32,840 Speaker 1: That's despite signs a few weeks ago right that the 384 00:21:32,960 --> 00:21:37,000 Speaker 1: pressure on rents was starting to ease. That is not 385 00:21:37,160 --> 00:21:40,639 Speaker 1: the case, it seems. And because of that, and because 386 00:21:40,680 --> 00:21:43,600 Speaker 1: of the broad impact of this on so much of 387 00:21:43,600 --> 00:21:49,440 Speaker 1: the Australian population, Adam, I humbly submit this as Fear 388 00:21:49,440 --> 00:21:54,760 Speaker 1: and Greeds United Sleeper story of the week. I don't 389 00:21:54,760 --> 00:21:56,520 Speaker 1: think I have the ability to speak on your behalf 390 00:21:56,520 --> 00:21:58,919 Speaker 1: on this one. Sure it's a little bit of a 391 00:21:58,920 --> 00:21:59,919 Speaker 1: flourish there at the end. 392 00:22:00,160 --> 00:22:02,160 Speaker 2: I like it. I mean, I think this fits into 393 00:22:02,160 --> 00:22:03,760 Speaker 2: the sleeper story, just like AI did. 394 00:22:04,040 --> 00:22:06,240 Speaker 1: Well, so why don't you surprise us with something? Why 395 00:22:06,240 --> 00:22:08,000 Speaker 1: don't you tell us about something that no one's ever 396 00:22:08,000 --> 00:22:08,280 Speaker 1: heard of? 397 00:22:08,280 --> 00:22:11,479 Speaker 2: Well, I'm getting a bit aggressive. I'm cranky about that 398 00:22:11,600 --> 00:22:17,399 Speaker 2: last mean stock failure. Aristocrat now in fact a risk, Adam. 399 00:22:17,880 --> 00:22:21,320 Speaker 2: Let's have a two way conversation here. What does Aristocrat 400 00:22:21,359 --> 00:22:22,200 Speaker 2: Leisure do? Adam? 401 00:22:22,400 --> 00:22:25,160 Speaker 3: Oh, they have gambling machines and software. 402 00:22:26,280 --> 00:22:31,399 Speaker 2: Continue any more information? Perfect answer, perfect answer. We don't 403 00:22:31,440 --> 00:22:36,800 Speaker 2: really know because it is the ultimate sleeper company. Aristocrat 404 00:22:36,880 --> 00:22:41,760 Speaker 2: Leisure the seventeenth largest company on the AX. Yet someone 405 00:22:41,760 --> 00:22:46,200 Speaker 2: as smart, a genius a formacy like Adam has absolute 406 00:22:46,359 --> 00:22:51,760 Speaker 2: bugger all idea what it does. But that's irrelevant, irrelevant, irrelevant. 407 00:22:51,760 --> 00:22:54,920 Speaker 2: But if I'd asked it in a different way, irrelevant. 408 00:22:57,000 --> 00:23:01,040 Speaker 2: Who started at arist Well, that's an unfair question, len Ainsworth, 409 00:23:01,040 --> 00:23:02,840 Speaker 2: You're well done. Googled. 410 00:23:02,920 --> 00:23:04,160 Speaker 3: Now I haven't googled a thing. 411 00:23:04,359 --> 00:23:05,719 Speaker 2: Oh he's googled it. 412 00:23:05,920 --> 00:23:09,840 Speaker 1: I need a cigarette. This is glorious what you started in. 413 00:23:10,800 --> 00:23:12,840 Speaker 3: Oh gosh, now you have me Ah. 414 00:23:13,600 --> 00:23:17,640 Speaker 2: Sixty three Oh see, he's googling. I'm not googling. There's 415 00:23:17,680 --> 00:23:20,120 Speaker 2: no doubt of it. He started in sixty five, read 416 00:23:20,119 --> 00:23:23,200 Speaker 2: it for years, falling out with the family members, and 417 00:23:23,359 --> 00:23:27,600 Speaker 2: Len started Ainsworth Gaming. The boy's got Aristocrat. It is 418 00:23:27,600 --> 00:23:30,920 Speaker 2: the seventeenth largest stock in the country. Bigger than Santos, 419 00:23:30,960 --> 00:23:34,080 Speaker 2: bigger than Cole's, bigger than Zero you know, Cochlear, Sun Call, 420 00:23:34,160 --> 00:23:37,720 Speaker 2: bigger than all those. Yet so few people know about it. Well, 421 00:23:37,760 --> 00:23:41,000 Speaker 2: some do, to be honest, but Aristocrat Leisure must be 422 00:23:41,000 --> 00:23:43,640 Speaker 2: the least known top twenty stock on the AA six. 423 00:23:43,720 --> 00:23:47,359 Speaker 2: Hence a great sleeper story. Shareholders have earned a return 424 00:23:47,400 --> 00:23:51,199 Speaker 2: of eight hundred percent over the past decade, including a 425 00:23:51,240 --> 00:23:54,440 Speaker 2: massive twelve percent jump in one session this week. It's 426 00:23:54,480 --> 00:23:57,440 Speaker 2: got three arms right. It's got traditional gaming machines, things 427 00:23:57,520 --> 00:24:00,600 Speaker 2: you find in pubs, clubs and casinos. It's got online 428 00:24:00,840 --> 00:24:04,400 Speaker 2: social machines as in no money and then online real 429 00:24:04,440 --> 00:24:07,119 Speaker 2: money games. It's doing really well in the US slot 430 00:24:07,119 --> 00:24:10,600 Speaker 2: machine market. It effectively rents out its machines and takes 431 00:24:10,640 --> 00:24:13,600 Speaker 2: a cut of the money put through them. It launched 432 00:24:13,840 --> 00:24:17,639 Speaker 2: six NFL branded games over the past twelve months, and 433 00:24:17,720 --> 00:24:19,679 Speaker 2: because it takes a cut of the money game through them. 434 00:24:19,680 --> 00:24:22,639 Speaker 2: Those NFL games are extremely popular. It's actually had a 435 00:24:22,640 --> 00:24:25,360 Speaker 2: boom year in terms of revenue. In fact, Troy Croker, 436 00:24:25,480 --> 00:24:27,440 Speaker 2: the chief executive, said it was the biggest launch in 437 00:24:27,480 --> 00:24:32,080 Speaker 2: the company's history. In the social gaming division. A seventeen 438 00:24:32,080 --> 00:24:34,680 Speaker 2: percent increase in profit was driven by growth in its 439 00:24:34,760 --> 00:24:38,439 Speaker 2: market share in social not the money won the social 440 00:24:38,480 --> 00:24:42,760 Speaker 2: online and the continued success of a role playing video game. 441 00:24:43,640 --> 00:24:46,560 Speaker 2: This is where it gets interesting, Michael, stop it. I 442 00:24:46,560 --> 00:24:49,440 Speaker 2: can see you getting here. Exit role playing video game 443 00:24:49,480 --> 00:24:54,000 Speaker 2: called Raid Shadow Legends. You enter a fantasy world and 444 00:24:54,000 --> 00:25:01,000 Speaker 2: go on quests involving lords, barbarians, demon spawn and earls, 445 00:25:01,560 --> 00:25:04,400 Speaker 2: among others. It's like a modern day Dungeons and Dragons 446 00:25:04,400 --> 00:25:06,720 Speaker 2: a game. I'm sure you played at it, and even 447 00:25:06,720 --> 00:25:08,600 Speaker 2: though it's about twenty years after your time, Michael, you 448 00:25:08,600 --> 00:25:11,760 Speaker 2: probably played it too. This is one of the Aristocrat. 449 00:25:11,840 --> 00:25:14,479 Speaker 2: Leisure is one of Australia's most successful companies. It's a 450 00:25:14,480 --> 00:25:20,640 Speaker 2: major exporter incredible IP intellectual property, yet very few retail 451 00:25:20,680 --> 00:25:24,160 Speaker 2: investors know a lot about it. And because jump twelve 452 00:25:24,160 --> 00:25:27,280 Speaker 2: percent this week, I just thought it is worthy of 453 00:25:27,359 --> 00:25:30,600 Speaker 2: the sleeper story of the week. Mind is up again, 454 00:25:30,640 --> 00:25:32,679 Speaker 2: something that no one knew about the Housing Christ. 455 00:25:35,440 --> 00:25:39,800 Speaker 4: So Dungeons and Dragons. That was a nice little quip. 456 00:25:40,160 --> 00:25:43,800 Speaker 4: Sure I did try and play it once. 457 00:25:44,440 --> 00:25:45,119 Speaker 2: I bet you did. 458 00:25:45,560 --> 00:25:47,800 Speaker 3: Bet do you remember what the dice? The was a 459 00:25:48,000 --> 00:25:48,760 Speaker 3: do decad guy. 460 00:25:48,840 --> 00:25:51,199 Speaker 2: I never played it. Just the nerds at school played it, 461 00:25:51,240 --> 00:25:51,920 Speaker 2: So I never played it. 462 00:25:52,080 --> 00:25:54,920 Speaker 4: Yeah, I had to go, but I wasn't a good 463 00:25:55,000 --> 00:25:58,159 Speaker 4: enough nerd. I played it once and left it. 464 00:25:58,640 --> 00:26:02,119 Speaker 1: Yeah, but it also requires that rare, rare type of nerd, 465 00:26:03,040 --> 00:26:08,360 Speaker 1: a nerd with friends. Actually, unfortunately I never played Dungeons 466 00:26:08,400 --> 00:26:13,480 Speaker 1: and Dragons. Couldn't couldn't rustle up a posse? 467 00:26:15,200 --> 00:26:16,800 Speaker 3: Yeah, Sean, you win. 468 00:26:18,480 --> 00:26:21,400 Speaker 1: But he was talking about a company that everyone's heard of. 469 00:26:21,760 --> 00:26:23,000 Speaker 3: Yeah, I actually. 470 00:26:22,760 --> 00:26:26,439 Speaker 4: Don't think it is in the popular parlance. You know, 471 00:26:27,000 --> 00:26:30,720 Speaker 4: it's it is a massive Australian success story. I have 472 00:26:30,760 --> 00:26:33,680 Speaker 4: a personal issue with gambling, but not a professional one, 473 00:26:33,840 --> 00:26:37,080 Speaker 4: and so I think their business story is amazing. 474 00:26:37,640 --> 00:26:39,240 Speaker 2: I just would also like to point out that in 475 00:26:39,240 --> 00:26:42,640 Speaker 2: the sleeper category, Michael, who did Housing, it's complaining about 476 00:26:42,640 --> 00:26:45,720 Speaker 2: me talking about a company that everyone's heard of anyway. 477 00:26:45,320 --> 00:26:47,840 Speaker 1: Well, I mean this week, I would always prefer it's 478 00:26:47,840 --> 00:26:50,159 Speaker 1: both to be struck out on that one. 479 00:26:50,800 --> 00:26:53,200 Speaker 2: One and a half to one and a half onto 480 00:26:53,240 --> 00:26:54,119 Speaker 2: the favorite story. 481 00:26:54,359 --> 00:26:57,600 Speaker 1: Oh good lord, all right, Sean, you go for it. 482 00:26:57,680 --> 00:27:00,680 Speaker 1: Your leading in on this one and I will bring 483 00:27:00,720 --> 00:27:01,720 Speaker 1: it home strong. 484 00:27:02,119 --> 00:27:04,399 Speaker 2: My favorite story this week was the one about Scott 485 00:27:04,440 --> 00:27:10,720 Speaker 2: Morrison meeting Donald Trump. Why. I think it's a cultural 486 00:27:10,760 --> 00:27:14,960 Speaker 2: cringe element that totally captivated me on this one. We 487 00:27:15,040 --> 00:27:18,520 Speaker 2: have a former prime minister meeting a former president. You know, 488 00:27:18,560 --> 00:27:21,000 Speaker 2: the bloke from the Shire in Sydney South couldn't wait 489 00:27:21,040 --> 00:27:24,000 Speaker 2: to tweet about it. Scome is in the US promoting 490 00:27:24,000 --> 00:27:26,800 Speaker 2: his recent book about being a Christian. Now some Trump 491 00:27:26,840 --> 00:27:29,480 Speaker 2: folks are helping him promote it. I just need to 492 00:27:29,520 --> 00:27:34,879 Speaker 2: read the tweet that Scome put out slightly breathlessly having 493 00:27:35,480 --> 00:27:39,160 Speaker 2: met Donald Trump, and I quote was pleased to meet 494 00:27:39,240 --> 00:27:41,800 Speaker 2: with former President Donald Trump on Tuesday night at his 495 00:27:42,119 --> 00:27:46,240 Speaker 2: private residence in New York. That's pretty exciting. It was 496 00:27:46,320 --> 00:27:49,840 Speaker 2: nice to catch up again, especially given the pylon he's 497 00:27:49,880 --> 00:27:52,360 Speaker 2: currently dealing with in the US. Was also a good 498 00:27:52,359 --> 00:27:55,600 Speaker 2: opportunity to discuss Orcus, which received a warm reception. We 499 00:27:55,680 --> 00:27:58,560 Speaker 2: also discussed the continuing assertions of China and the Pacific, 500 00:27:58,560 --> 00:28:01,560 Speaker 2: the threats against Taiwan. Issues. We discussed regularly when we're 501 00:28:01,600 --> 00:28:03,879 Speaker 2: both in office. Oh so you were used to be 502 00:28:03,920 --> 00:28:07,000 Speaker 2: Prime Minister scom so you did. Once again, the former 503 00:28:07,040 --> 00:28:09,639 Speaker 2: president showed his true appreciation of the value he places 504 00:28:09,640 --> 00:28:12,040 Speaker 2: on the Australian US alliance and the shared role of 505 00:28:12,040 --> 00:28:15,600 Speaker 2: supporting what our friend Shinsel are they called a free 506 00:28:15,640 --> 00:28:19,639 Speaker 2: and open Indo Pacific. This is where I just my 507 00:28:19,760 --> 00:28:23,320 Speaker 2: toes call when I read this. Good to see you, 508 00:28:23,800 --> 00:28:29,879 Speaker 2: DJT and thanks for the invitation to stay in touch. 509 00:28:29,920 --> 00:28:33,400 Speaker 2: All the best. Donald Trump invites everyone to play golf 510 00:28:33,440 --> 00:28:36,439 Speaker 2: at Mary Lago. No noscome, I got a thanks for 511 00:28:36,480 --> 00:28:41,479 Speaker 2: the invite to stay in touch. Oh dear, is it 512 00:28:41,480 --> 00:28:45,720 Speaker 2: it so embarrassing or not? In my mind? Anyway? My 513 00:28:45,760 --> 00:28:47,520 Speaker 2: favorite story of the week, Michael, Oh. 514 00:28:47,400 --> 00:28:50,080 Speaker 1: Look, my favorite story is actually about business, which I 515 00:28:50,120 --> 00:28:52,320 Speaker 1: know it's odd for us to be doing a business 516 00:28:52,440 --> 00:28:55,360 Speaker 1: story in a business news podcast, but anyway, it is 517 00:28:55,360 --> 00:28:56,240 Speaker 1: about having. 518 00:28:56,280 --> 00:28:58,240 Speaker 2: Let me correct you, it's odd for you to be 519 00:28:58,280 --> 00:29:00,920 Speaker 2: doing a business story in a business podcast. Go on. 520 00:29:02,000 --> 00:29:03,880 Speaker 1: Feels like I didn't need to point that out, Sean. 521 00:29:04,640 --> 00:29:07,400 Speaker 1: It is about one of the biggest success stories in 522 00:29:07,440 --> 00:29:12,000 Speaker 1: business in history, and in particular how it overcame a 523 00:29:12,040 --> 00:29:15,800 Speaker 1: pr nightmare twenty years ago to surge to Dizzy New 524 00:29:15,880 --> 00:29:19,560 Speaker 1: Heights Today, it has been exactly two decades since the 525 00:29:19,560 --> 00:29:23,400 Speaker 1: movie Supersized Me came out where director and star Morgan Spurlock, 526 00:29:23,640 --> 00:29:26,520 Speaker 1: I ate only McDonald's for a month, which sounds good. 527 00:29:27,040 --> 00:29:29,080 Speaker 1: I mean, I mean it would sound great to a kid, 528 00:29:29,120 --> 00:29:32,800 Speaker 1: wouldn't it. But I mean in reality watching the movie, like, okay, 529 00:29:32,960 --> 00:29:36,200 Speaker 1: I see the point. He was trying to prove a point. 530 00:29:36,240 --> 00:29:39,920 Speaker 1: It was proving that the fast food chains weren't good 531 00:29:40,000 --> 00:29:42,880 Speaker 1: for people's health. He made that point, He made it well. 532 00:29:42,960 --> 00:29:45,320 Speaker 1: The movie was a hit. It helped to raise awareness 533 00:29:45,320 --> 00:29:49,080 Speaker 1: of healthy eating. It encouraged macus to discontinue its supersized menu. 534 00:29:49,520 --> 00:29:54,600 Speaker 1: But but triple but but did it slow the march 535 00:29:55,400 --> 00:30:00,680 Speaker 1: of the Golden Arches? It did not. Fast forward twenty years, 536 00:30:00,840 --> 00:30:06,680 Speaker 1: there are now forty two thousand McDonald's restaurants. The company's 537 00:30:06,680 --> 00:30:10,360 Speaker 1: share price is up nearly one thousand percent since the 538 00:30:10,400 --> 00:30:14,440 Speaker 1: movie came out. But the company has The company has evolved, 539 00:30:14,480 --> 00:30:16,560 Speaker 1: like when you look at it as well you look at, say, 540 00:30:16,560 --> 00:30:20,000 Speaker 1: the Australian restaurants. Everyone contains a mcafe now, which was 541 00:30:20,040 --> 00:30:23,920 Speaker 1: an Australian of invention originally, which is spreading globally. You 542 00:30:23,920 --> 00:30:27,400 Speaker 1: can get apple chips instead of fries with your Happy Meal. 543 00:30:27,600 --> 00:30:29,840 Speaker 1: You can even opt for a salad if you want 544 00:30:30,120 --> 00:30:33,720 Speaker 1: something that I yet to do. I think the continued 545 00:30:33,800 --> 00:30:36,760 Speaker 1: strength of McDonald's is a pretty remarkable story, and the 546 00:30:36,800 --> 00:30:41,520 Speaker 1: facts that it not just survived but actually thrived after 547 00:30:41,560 --> 00:30:45,920 Speaker 1: the super size me storm twenty years ago is just amazing. 548 00:30:45,960 --> 00:30:48,960 Speaker 1: It's a short one. It is a business story. Adam, 549 00:30:49,880 --> 00:30:53,320 Speaker 1: I think I've got this one. Oh, I shouldn't be cocky, Adam. 550 00:30:53,440 --> 00:30:54,680 Speaker 1: I hope that's enough to win. 551 00:30:55,720 --> 00:30:56,120 Speaker 2: There we go. 552 00:30:56,200 --> 00:30:56,800 Speaker 1: That was better. 553 00:30:57,480 --> 00:31:00,080 Speaker 2: No, I remember when this came out. I was working 554 00:31:00,120 --> 00:31:04,000 Speaker 2: in the US, I think, or it was just I 555 00:31:04,040 --> 00:31:06,640 Speaker 2: was doing the US just after and I interviewed Charlie Bell. 556 00:31:07,200 --> 00:31:10,520 Speaker 2: Charlie Bell started in the Maruba store at McDonald's in 557 00:31:10,760 --> 00:31:14,560 Speaker 2: Sydney's eastern suburbs, made his way to become CEO of 558 00:31:14,640 --> 00:31:15,680 Speaker 2: McDonald's Corporation. 559 00:31:16,320 --> 00:31:17,400 Speaker 3: That is amazing, isn't it. 560 00:31:17,680 --> 00:31:21,320 Speaker 2: His spectat literally worked his way through the stores, lovely fella. 561 00:31:21,600 --> 00:31:24,200 Speaker 2: He actually met him on the steps of some function 562 00:31:24,240 --> 00:31:25,880 Speaker 2: at some point. And then when I sort of chased 563 00:31:25,920 --> 00:31:29,320 Speaker 2: him up and interviewed him, I didn't use the fact 564 00:31:29,320 --> 00:31:30,760 Speaker 2: that i'd met him before I walked in the door 565 00:31:30,760 --> 00:31:32,360 Speaker 2: and goes, oh, I know you. I met you on 566 00:31:32,400 --> 00:31:35,320 Speaker 2: the steps of this dinner that we've been at. He 567 00:31:35,400 --> 00:31:39,040 Speaker 2: had this photographic memory. One of more impressive people I've 568 00:31:39,080 --> 00:31:42,560 Speaker 2: come across. Tragically died of illness at the age of 569 00:31:42,640 --> 00:31:45,960 Speaker 2: forty four. But I remember asking him about this particular 570 00:31:46,080 --> 00:31:50,560 Speaker 2: Supersize Me movie and he goes, well, what do you 571 00:31:50,600 --> 00:31:54,480 Speaker 2: expect you eat McDonald's breakfast, lunch, and dinner. Of course, 572 00:31:54,480 --> 00:31:59,000 Speaker 2: it's not going to be good for your health. Not Yeah, fairpoint, fairpoint, 573 00:31:59,600 --> 00:32:04,120 Speaker 2: very far to go anyway, Sorry, Yeah, I digress talking 574 00:32:04,120 --> 00:32:06,880 Speaker 2: about myself there. But Charlie Bell was a really remarkable individual. 575 00:32:06,960 --> 00:32:10,880 Speaker 4: That's a great memory. Yeah, Michael wins on that one. 576 00:32:11,600 --> 00:32:14,760 Speaker 4: I think that's a great story McDonald's and how they 577 00:32:15,280 --> 00:32:19,320 Speaker 4: prevailed against that challenge. And when it comes to the 578 00:32:19,360 --> 00:32:22,120 Speaker 4: cultural queen, Shawn, I'm right there with you. I just 579 00:32:22,160 --> 00:32:27,240 Speaker 4: found that whole thing irksome. I didn't like it, so 580 00:32:28,440 --> 00:32:30,440 Speaker 4: it was hard for me to see that picture of 581 00:32:30,480 --> 00:32:31,640 Speaker 4: them together in the tweet. 582 00:32:31,880 --> 00:32:34,800 Speaker 2: Yeah, maybe it should be my least favorite story. Just 583 00:32:35,120 --> 00:32:36,160 Speaker 2: do the reverse favorite. 584 00:32:36,160 --> 00:32:37,080 Speaker 3: Maybe we could do that. 585 00:32:37,360 --> 00:32:41,760 Speaker 1: Yeah, can we just observe for a fact that I 586 00:32:41,800 --> 00:32:47,040 Speaker 1: came back from the staggering depths of the disaster that 587 00:32:47,240 --> 00:32:50,080 Speaker 1: was trying to argue the housing crisis was a sleeper story. 588 00:32:52,480 --> 00:32:54,560 Speaker 3: Even you acknowledge that, Michael. 589 00:32:54,400 --> 00:32:57,800 Speaker 1: Oh, well, I can now because actually no, I will 590 00:32:57,880 --> 00:33:02,640 Speaker 1: never ever ever conceive I will never admit that. So 591 00:33:02,680 --> 00:33:04,120 Speaker 1: we're gonna have to delete the part where I just 592 00:33:04,160 --> 00:33:07,080 Speaker 1: did two and a half to one and a half. 593 00:33:07,400 --> 00:33:09,080 Speaker 2: Yeah, well done, Michael. 594 00:33:09,080 --> 00:33:14,200 Speaker 1: Thank you, And just Adam, can we have the scores. 595 00:33:13,680 --> 00:33:15,400 Speaker 3: For posterity for the animals? 596 00:33:15,480 --> 00:33:23,280 Speaker 4: Yes, Shawn, ninety points, Michael, maybe maybe in a new 597 00:33:23,400 --> 00:33:26,160 Speaker 4: territory ninety four points. 598 00:33:26,720 --> 00:33:29,520 Speaker 3: Woh ah. 599 00:33:29,560 --> 00:33:31,640 Speaker 1: And you know what, it's the beginning of a new era. 600 00:33:33,600 --> 00:33:34,800 Speaker 1: I know it's only one week. 601 00:33:35,240 --> 00:33:37,360 Speaker 2: Every era has to start somewhere. That's right. 602 00:33:37,400 --> 00:33:39,080 Speaker 1: We will look back on this and go remember that 603 00:33:39,120 --> 00:33:41,959 Speaker 1: time that Michael argued the housing chrisis is a sleeper story. 604 00:33:42,680 --> 00:33:45,320 Speaker 2: Remember that time that Adam said the meme story wasn't 605 00:33:45,320 --> 00:33:46,480 Speaker 2: the most reminded story. 606 00:33:46,280 --> 00:33:48,680 Speaker 1: Of Remember that time that Adam said that the budget 607 00:33:48,800 --> 00:33:50,520 Speaker 1: wasn't the biggest story of budget week. 608 00:33:51,840 --> 00:33:53,080 Speaker 2: I wouldn't put that on Adam. 609 00:33:53,400 --> 00:33:58,360 Speaker 1: Oh, it wasn't on me. I know that Accountability is important, 610 00:33:58,520 --> 00:34:04,640 Speaker 1: but I accept no responsible All right, good stuff, good result, 611 00:34:04,760 --> 00:34:11,719 Speaker 1: great result, congratulations to me. I'm so not used to 612 00:34:11,880 --> 00:34:14,319 Speaker 1: winning that I don't actually know what to do. Thank 613 00:34:14,360 --> 00:34:16,840 Speaker 1: you very much, Sean, thank you, Michael, thank you, Adam, 614 00:34:17,120 --> 00:34:17,800 Speaker 1: Thank you Adam. 615 00:34:17,880 --> 00:34:18,279 Speaker 2: Well done. 616 00:34:18,440 --> 00:34:20,000 Speaker 3: Oh, thank you both. It was great fun. 617 00:34:20,640 --> 00:34:23,000 Speaker 1: Make sure you following the podcast and join us online 618 00:34:23,000 --> 00:34:26,320 Speaker 1: on LinkedIn, Instagram, x TikTok and Facebook. I'm Michael Thompson. 619 00:34:26,360 --> 00:34:28,440 Speaker 1: And that was fear and greed. Have a great weekend.