1 00:00:06,240 --> 00:00:08,840 Speaker 1: This is the weekend edition of Fear and Greed, daily 2 00:00:08,880 --> 00:00:11,360 Speaker 1: business news for people who make their own decisions. I'm 3 00:00:11,360 --> 00:00:14,000 Speaker 1: Michael Thompson, and good morning, Sean Aylmer. 4 00:00:14,160 --> 00:00:15,240 Speaker 2: Good morning, Michael. 5 00:00:15,720 --> 00:00:20,960 Speaker 1: Sean. Very excited about today because a feeling like I've got, 6 00:00:20,960 --> 00:00:26,000 Speaker 1: that victorious feeling comes from deep within because this is 7 00:00:26,000 --> 00:00:28,680 Speaker 1: a competition. It is about the two of us each 8 00:00:28,720 --> 00:00:31,240 Speaker 1: nominating what we think is the biggest business story of 9 00:00:31,280 --> 00:00:35,839 Speaker 1: the week, the most remarkable business story, a sleeper story 10 00:00:35,920 --> 00:00:39,519 Speaker 1: as well, and then our favorite business ish story for 11 00:00:39,560 --> 00:00:41,960 Speaker 1: the weekend. It is a competition, as I said, and 12 00:00:42,000 --> 00:00:44,440 Speaker 1: we need a judge to determine a winner, and that 13 00:00:44,560 --> 00:00:47,560 Speaker 1: judges our Fear and Greed colleague Adam Lange Adam, good morning. 14 00:00:47,640 --> 00:00:49,200 Speaker 3: Hello Michael, and hello Sean. 15 00:00:49,840 --> 00:00:53,159 Speaker 2: Hello Adam. I want you. I mean, we've been celebrating 16 00:00:53,200 --> 00:00:55,200 Speaker 2: the last couple of days. One of us, one of 17 00:00:55,200 --> 00:00:57,080 Speaker 2: the three of us, has turned another year older. 18 00:00:57,440 --> 00:00:59,480 Speaker 3: Well, he would say the most important of the three. 19 00:01:00,000 --> 00:01:00,880 Speaker 1: Would he would? 20 00:01:01,040 --> 00:01:04,679 Speaker 2: He would. Indeed, we got those touched like Adam and 21 00:01:04,680 --> 00:01:07,240 Speaker 2: I will almost share a birthday. We're a day apart. 22 00:01:07,440 --> 00:01:08,520 Speaker 1: You're pretty boys, twinned. 23 00:01:08,880 --> 00:01:11,320 Speaker 2: It always happens over the it always happens out of 24 00:01:11,360 --> 00:01:16,039 Speaker 2: the Christmas break, so no one cares. However, Michael Thompson 25 00:01:16,880 --> 00:01:21,040 Speaker 2: forty seven, congratulations, Oh please. 26 00:01:20,880 --> 00:01:22,640 Speaker 3: But I don't only look forty six. 27 00:01:23,000 --> 00:01:25,520 Speaker 1: There isn't even a four in front of it. Yeah, 28 00:01:25,760 --> 00:01:30,679 Speaker 1: like I'm still so give me another year, thank you? 29 00:01:31,000 --> 00:01:33,280 Speaker 1: So look, I do just want to make this abundantly 30 00:01:33,319 --> 00:01:35,200 Speaker 1: clear though, that if I win today, it is it 31 00:01:35,280 --> 00:01:40,600 Speaker 1: is on merit. It is not a birthday gift, So 32 00:01:40,760 --> 00:01:43,080 Speaker 1: legit win. What are you looking for today in your 33 00:01:43,120 --> 00:01:45,880 Speaker 1: criteria as we go through these stories, I'm assuming one 34 00:01:45,959 --> 00:01:49,240 Speaker 1: criteria is a certain amount of kind of genessa qua. 35 00:01:51,640 --> 00:01:57,400 Speaker 3: So even more than normal topicality, timeliness, economic impact, I 36 00:01:57,400 --> 00:01:59,720 Speaker 3: would like you to pay attention to my subjective bias 37 00:02:00,360 --> 00:02:07,640 Speaker 3: love for reform and melodrama. Please, okay, we that all right? 38 00:02:08,160 --> 00:02:08,640 Speaker 3: I can do. 39 00:02:09,600 --> 00:02:10,639 Speaker 1: Who wants to go first? 40 00:02:10,919 --> 00:02:13,320 Speaker 2: Well, last week we just had a draw because Donald 41 00:02:13,360 --> 00:02:15,920 Speaker 2: Trump taking power. No one was going to beat that. 42 00:02:16,520 --> 00:02:20,920 Speaker 2: This week? About you go first this week? All right? 43 00:02:23,160 --> 00:02:25,560 Speaker 1: I am so pleased to be going first. You know what, 44 00:02:25,720 --> 00:02:28,160 Speaker 1: I'm pleased for twenty twenty five. And you know why 45 00:02:28,200 --> 00:02:31,600 Speaker 1: I'm pleased for twenty twenty five? Why because it means 46 00:02:31,600 --> 00:02:36,280 Speaker 1: I am freed from the shackles of economics because last year, 47 00:02:36,560 --> 00:02:39,560 Speaker 1: if there was any economics story at all through the week, 48 00:02:39,720 --> 00:02:42,680 Speaker 1: I knew I was going to be doing it because 49 00:02:42,680 --> 00:02:44,880 Speaker 1: Sean put himself on a self imposed band for the 50 00:02:44,960 --> 00:02:47,760 Speaker 1: duration of twenty twenty four, part of an epic dummy spit, 51 00:02:48,280 --> 00:02:50,200 Speaker 1: So now I was fraid to look. 52 00:02:50,240 --> 00:02:52,440 Speaker 2: It wasn't a dummy spit. It was a protest at 53 00:02:52,440 --> 00:02:55,720 Speaker 2: the appalling judging that occurred in twenty twenty four. Notwithstanding 54 00:02:55,800 --> 00:02:56,600 Speaker 2: it mostly I won. 55 00:02:57,160 --> 00:02:59,400 Speaker 3: Yeah, I thought it was quite a well ex a 56 00:02:59,440 --> 00:03:01,760 Speaker 3: formal test. 57 00:03:03,560 --> 00:03:07,800 Speaker 1: One man's formal protest is another's dummy spit. Right, It 58 00:03:07,880 --> 00:03:09,320 Speaker 1: had all the hallmarks of a dummy spit, but I 59 00:03:09,360 --> 00:03:11,600 Speaker 1: will leave that in the past where it belongs. It 60 00:03:11,639 --> 00:03:14,280 Speaker 1: meant though, that I can look elsewhere for the biggest story, 61 00:03:14,320 --> 00:03:18,000 Speaker 1: and this week there was only one big story, and 62 00:03:18,040 --> 00:03:21,200 Speaker 1: it was not to do with the economy. It was 63 00:03:21,520 --> 00:03:24,040 Speaker 1: the biggest global story that everybody was talking about. It's 64 00:03:24,080 --> 00:03:26,359 Speaker 1: got local impact as well, Adams. It ticks every box. 65 00:03:27,400 --> 00:03:32,800 Speaker 1: A I Chinese AI company deep Seek launched its new 66 00:03:32,880 --> 00:03:35,240 Speaker 1: chat pot. It is a rival to chat GPT and 67 00:03:35,280 --> 00:03:37,360 Speaker 1: as we talked about through the week, this thing is 68 00:03:37,440 --> 00:03:41,640 Speaker 1: not necessarily smarter, It is not faster, it is not 69 00:03:41,840 --> 00:03:47,280 Speaker 1: actually better than chat GPT, but according to all the reports, 70 00:03:47,320 --> 00:03:51,560 Speaker 1: particularly out of China, it is cheaper, significantly cheaper. It 71 00:03:51,600 --> 00:03:55,240 Speaker 1: only took something like two months and under six million 72 00:03:55,560 --> 00:04:00,480 Speaker 1: US dollars to build, compared to the billions and billions 73 00:04:00,520 --> 00:04:04,400 Speaker 1: and billions of dollars that the US tech giants are 74 00:04:04,400 --> 00:04:07,760 Speaker 1: pouring into it, like Meta this year is spending something 75 00:04:07,840 --> 00:04:13,880 Speaker 1: like sixty billion US dollars this year alone on AI. Right, 76 00:04:13,920 --> 00:04:16,080 Speaker 1: So that just to give you an example of the 77 00:04:16,120 --> 00:04:19,440 Speaker 1: staggering difference between kind of the US operations and now 78 00:04:19,480 --> 00:04:22,440 Speaker 1: this this essentially a Chinese startup that's been in operation 79 00:04:22,520 --> 00:04:25,839 Speaker 1: for less than kind of eighteen months. So the impact 80 00:04:26,080 --> 00:04:30,080 Speaker 1: was immediate, The impact was significant, and video shares tumbled 81 00:04:30,360 --> 00:04:34,320 Speaker 1: seventeen percent in one session, Around a trillion dollars worth 82 00:04:34,360 --> 00:04:37,400 Speaker 1: of value wiped off, the biggest one day fall in 83 00:04:38,160 --> 00:04:43,760 Speaker 1: value for a company ever ever in history. Ever has 84 00:04:43,760 --> 00:04:47,560 Speaker 1: it happened before, No, it hasn't. It's ever shorn in history, 85 00:04:47,720 --> 00:04:50,520 Speaker 1: like for the entire duration of humans. This is the 86 00:04:50,520 --> 00:04:55,120 Speaker 1: biggest ever. There are two two main reasons right why 87 00:04:55,160 --> 00:04:58,720 Speaker 1: this has sent shockwaves around the world to Australia as 88 00:04:58,720 --> 00:05:04,960 Speaker 1: well local impact. It has reshaped the expectations of what 89 00:05:05,120 --> 00:05:08,280 Speaker 1: an AI future would be, so in terms of the 90 00:05:09,000 --> 00:05:13,040 Speaker 1: expectation that would be extraordinary demand for processing power that 91 00:05:13,440 --> 00:05:17,360 Speaker 1: now we may not need these high end, super expensive 92 00:05:17,400 --> 00:05:20,800 Speaker 1: thirty thousand dollars for a single processor from Nvidia may 93 00:05:20,839 --> 00:05:23,719 Speaker 1: not be necessary because this thing deep Seak was developed 94 00:05:23,800 --> 00:05:27,880 Speaker 1: using apparently kind of the lower end of the range 95 00:05:27,920 --> 00:05:31,039 Speaker 1: that you can get from Nvidia, so lower demand for 96 00:05:31,080 --> 00:05:33,800 Speaker 1: high end processes. And the other big reason, the other 97 00:05:33,839 --> 00:05:38,720 Speaker 1: big question here is that it raised concerned about US 98 00:05:38,920 --> 00:05:41,520 Speaker 1: dominance over the AI revolution. They may not be as 99 00:05:41,520 --> 00:05:43,919 Speaker 1: dominant as they thought. This is an arms race within 100 00:05:43,960 --> 00:05:47,159 Speaker 1: the world of AI, and the US may not actually 101 00:05:47,200 --> 00:05:48,960 Speaker 1: be winning as everybody thought it was because I was 102 00:05:49,000 --> 00:05:52,440 Speaker 1: sanctioned preventing Chinese companies from getting access to these chips, 103 00:05:52,440 --> 00:05:54,880 Speaker 1: and hey, they may not have actually worked shock waves 104 00:05:54,920 --> 00:05:59,520 Speaker 1: as I mentioned through markets globally the US they followed 105 00:05:59,560 --> 00:06:02,240 Speaker 1: through there was a big flow through right through to Australia. 106 00:06:02,480 --> 00:06:06,320 Speaker 1: Adam questions over the accuracy of the claims by Deep Sea, 107 00:06:06,800 --> 00:06:09,920 Speaker 1: whether it actually did happen that quickly, whether the cost 108 00:06:10,080 --> 00:06:12,200 Speaker 1: was as low as they said. But in the end, 109 00:06:12,360 --> 00:06:16,080 Speaker 1: the effect was still the same, staggering. What was your 110 00:06:16,120 --> 00:06:16,839 Speaker 1: runner up, Sean? 111 00:06:17,400 --> 00:06:18,960 Speaker 2: So I think that wasn't there. That was a massive 112 00:06:18,960 --> 00:06:20,840 Speaker 2: story for twenty four hours. It really was. It came 113 00:06:21,480 --> 00:06:22,080 Speaker 2: and then it went. 114 00:06:22,800 --> 00:06:25,159 Speaker 1: It Lingers, Sean, it lingers. 115 00:06:25,320 --> 00:06:28,000 Speaker 2: In the share prices bounce, you talked about Nvidia's share 116 00:06:28,040 --> 00:06:30,520 Speaker 2: price diving. Did you see how much you put on 117 00:06:30,600 --> 00:06:35,760 Speaker 2: the next day? You feel like it's a significant living there. 118 00:06:35,800 --> 00:06:39,240 Speaker 2: So I'm going to talk about a story that has sustainable, 119 00:06:39,600 --> 00:06:44,560 Speaker 2: long lasting impact. This week we found out that in 120 00:06:44,600 --> 00:06:51,159 Speaker 2: all likelihood, the Reserve Bank will cut interest rates next month. Now, Adam, 121 00:06:51,320 --> 00:06:52,040 Speaker 2: can I point out? 122 00:06:52,080 --> 00:06:55,160 Speaker 1: So that happened this week, very very very. 123 00:06:55,440 --> 00:07:00,279 Speaker 2: Little impact overseas. I mean some impact overseas, but not 124 00:07:00,400 --> 00:07:06,520 Speaker 2: that much local impact. Hello, bring it home. We've got homeowners, 125 00:07:06,880 --> 00:07:09,760 Speaker 2: we've got business owners, we've got corporates with all this debt, 126 00:07:10,040 --> 00:07:13,600 Speaker 2: we've got share prices, we have those poor old superannuins 127 00:07:13,640 --> 00:07:15,640 Speaker 2: who are relying on their term deposits. It's not going 128 00:07:15,680 --> 00:07:18,960 Speaker 2: to get as much. Right, this is big news. What happened. 129 00:07:19,480 --> 00:07:22,240 Speaker 2: Inflation figures came in for this for the December quarter. 130 00:07:22,680 --> 00:07:25,040 Speaker 2: The underlying rate of inflation, the most important one came 131 00:07:25,040 --> 00:07:28,440 Speaker 2: in at zero point two percent, which no, no, that's 132 00:07:28,480 --> 00:07:31,080 Speaker 2: a lie. I'm making it up. Headline inflation zero point 133 00:07:31,120 --> 00:07:34,800 Speaker 2: two percent and two point four percent for the year turned. 134 00:07:34,560 --> 00:07:38,040 Speaker 1: Into me, adam, we're just filling in gaps with made 135 00:07:38,120 --> 00:07:38,880 Speaker 1: up figures. 136 00:07:38,760 --> 00:07:41,960 Speaker 2: Making it up. The underlying inflation rate all important and 137 00:07:42,080 --> 00:07:45,440 Speaker 2: zero point five percent three point two percent for the year. 138 00:07:46,240 --> 00:07:48,800 Speaker 2: What the zero point five percent shows that underlying inflation 139 00:07:48,960 --> 00:07:53,040 Speaker 2: is still falling. As a result, we had the big 140 00:07:53,080 --> 00:07:57,680 Speaker 2: four banks already Commonwealth Bank and an Z believe that 141 00:07:57,720 --> 00:08:00,160 Speaker 2: there's going to be a rate cut next month. Now 142 00:08:00,160 --> 00:08:04,080 Speaker 2: we have National Australia Bank and Westpac on board too. 143 00:08:04,120 --> 00:08:07,680 Speaker 2: Westpac is really important because their chief economist, a woman 144 00:08:07,760 --> 00:08:09,920 Speaker 2: called Lucy Ellis, used to be the chief economist at 145 00:08:09,960 --> 00:08:13,840 Speaker 2: the Reserve Bank. She should know what's going on. So 146 00:08:13,960 --> 00:08:18,400 Speaker 2: these inflation figures we're all hoping would be reasonably soft, 147 00:08:18,680 --> 00:08:20,720 Speaker 2: they were, and now it looks like we're going to 148 00:08:20,720 --> 00:08:25,160 Speaker 2: get a rate cut next month that has serious local impact. 149 00:08:29,040 --> 00:08:32,600 Speaker 3: Over to me, sorry, over to me. 150 00:08:33,600 --> 00:08:36,160 Speaker 1: Can I just make one final point. AI is going 151 00:08:36,200 --> 00:08:40,920 Speaker 1: to define markets for the foreseeable future. It is going 152 00:08:40,960 --> 00:08:44,800 Speaker 1: to infiltrate, it is going to spread its its computerized 153 00:08:44,840 --> 00:08:48,240 Speaker 1: tentacles throughout every single part of our daily lives and 154 00:08:48,280 --> 00:08:52,200 Speaker 1: our work lives and business globally. Right, and what we 155 00:08:52,240 --> 00:08:56,080 Speaker 1: saw was all of the assumptions that the AI revolution 156 00:08:56,200 --> 00:08:58,120 Speaker 1: is based on being upended. 157 00:08:58,520 --> 00:09:00,360 Speaker 2: Can I make it? Can I make a suggestion? Adam 158 00:09:00,520 --> 00:09:03,360 Speaker 2: as judge, please make a suggestion? Because I did it, 159 00:09:03,400 --> 00:09:06,160 Speaker 2: and now Michael's done it. For some reason this year 160 00:09:06,200 --> 00:09:09,880 Speaker 2: we've started, you were allowing us to rebut the garbage 161 00:09:09,880 --> 00:09:12,079 Speaker 2: that's coming out of the other person's mouth. I think 162 00:09:12,120 --> 00:09:13,880 Speaker 2: you should just say no, you can't do that like 163 00:09:14,160 --> 00:09:15,800 Speaker 2: I did it to Michael. Michael did it to me. 164 00:09:16,160 --> 00:09:18,960 Speaker 2: It's going to take this show longer, longer and longer. 165 00:09:19,080 --> 00:09:21,760 Speaker 1: Yeah, from next week, no more ReBs. 166 00:09:21,800 --> 00:09:25,679 Speaker 3: Well, okay, can we agree demerits will be given if 167 00:09:25,720 --> 00:09:26,920 Speaker 3: any rebuttal happens. 168 00:09:27,160 --> 00:09:28,280 Speaker 1: I love a good demerit. 169 00:09:28,400 --> 00:09:30,680 Speaker 3: Yes, please, so if you if you you can risk 170 00:09:30,720 --> 00:09:33,480 Speaker 3: an involuntary rebuttal. Right, but it may cost you. 171 00:09:33,679 --> 00:09:35,640 Speaker 2: Rebuttal is a funny word, isn't it really? 172 00:09:38,559 --> 00:09:39,720 Speaker 3: Stop taunting him? 173 00:09:39,760 --> 00:09:43,920 Speaker 1: Sean, I'm mature now, I've had a birthday, so I don't. 174 00:09:44,040 --> 00:09:45,400 Speaker 1: I don't laugh at things like that. 175 00:09:47,440 --> 00:09:53,800 Speaker 3: Okay, dead heat reason being Michael, it's not the beginning 176 00:09:53,840 --> 00:09:56,320 Speaker 3: of AI, and they've done it cheaper, cheaper in energy, 177 00:09:56,400 --> 00:09:58,880 Speaker 3: and I've caught up and there's some real question mark. 178 00:09:58,920 --> 00:10:02,400 Speaker 3: So how did they do it so quickly and so cheaply? 179 00:10:02,800 --> 00:10:04,840 Speaker 3: So this story I think will go on for quite 180 00:10:04,880 --> 00:10:08,520 Speaker 3: a bit. Sean. The CPI figured for me is so 181 00:10:08,520 --> 00:10:12,480 Speaker 3: so important, but it wasn't low enough to really secure 182 00:10:12,520 --> 00:10:16,400 Speaker 3: I think an interest a sure interest rate drop, and god, 183 00:10:16,480 --> 00:10:18,360 Speaker 3: it will be interesting to watch in the coming weeks. 184 00:10:18,720 --> 00:10:21,559 Speaker 3: I just think it's just such an important number, but 185 00:10:21,760 --> 00:10:24,080 Speaker 3: not clear in terms of its indication of where we're 186 00:10:24,080 --> 00:10:26,040 Speaker 3: going to go from here. So dead heat on that one. 187 00:10:27,600 --> 00:10:30,920 Speaker 1: One brillion dollars lost in a single day. 188 00:10:31,240 --> 00:10:33,240 Speaker 3: Yeah, and then a whole bunch of it came back. 189 00:10:33,040 --> 00:10:35,920 Speaker 2: To Chief Economists saying rates are going to four. 190 00:10:36,720 --> 00:10:38,560 Speaker 1: You know what I love most about this is the 191 00:10:38,559 --> 00:10:42,760 Speaker 1: fact that we are equally annoyed with the decision. This 192 00:10:42,840 --> 00:10:43,640 Speaker 1: is quite rare. 193 00:10:43,800 --> 00:10:46,800 Speaker 2: I actually I would say that a drawer is a 194 00:10:46,840 --> 00:11:00,120 Speaker 2: fair result. The reasoning is garbage, though, Michael, turn. 195 00:11:00,800 --> 00:11:03,560 Speaker 1: You go first. I went first on the biggest story. 196 00:11:03,600 --> 00:11:04,400 Speaker 2: What are we talking about? 197 00:11:04,400 --> 00:11:08,199 Speaker 1: Remarkable, remarkable story show keep it keep it together, Keep 198 00:11:08,240 --> 00:11:08,680 Speaker 1: it together. 199 00:11:08,679 --> 00:11:14,320 Speaker 2: Together. Look, I mean, remarkable stuff happens, but it does 200 00:11:14,960 --> 00:11:21,440 Speaker 2: every day. But but but the triple this week the 201 00:11:21,480 --> 00:11:25,960 Speaker 2: Aussie share market, notwithstanding all this carry on that's going 202 00:11:26,000 --> 00:11:31,040 Speaker 2: on everywhere, hit a new record high. That's on the 203 00:11:31,080 --> 00:11:33,720 Speaker 2: back of what was the most important story of the week, 204 00:11:33,800 --> 00:11:37,839 Speaker 2: people expecting a rate cut next month. Quite remarkable. Hit 205 00:11:37,840 --> 00:11:41,959 Speaker 2: a new high this week, surpassing the peaks of December 206 00:11:42,120 --> 00:11:45,600 Speaker 2: last year. Really strong start of the year, up about 207 00:11:45,760 --> 00:11:49,960 Speaker 2: four or five percent. What's incredible to me? What is incredible? 208 00:11:50,000 --> 00:11:52,280 Speaker 2: You know, banks they shouldn't do so well when interest 209 00:11:52,320 --> 00:11:56,640 Speaker 2: rates are falling, yet this year, once again they're leading 210 00:11:56,640 --> 00:12:00,280 Speaker 2: the way. Westpac Comwell Bank up nearly five percent, as 211 00:12:00,440 --> 00:12:04,000 Speaker 2: ed up nearly eight percent. Of crazy stuff, gold prices 212 00:12:04,040 --> 00:12:05,920 Speaker 2: doing well. As a result, we're having the gold companies 213 00:12:05,960 --> 00:12:09,600 Speaker 2: do well. Northern Stars up nearly ten percent this time around, though, 214 00:12:10,280 --> 00:12:14,440 Speaker 2: and this does reflect interest rates. The consumer discretionary stocks 215 00:12:14,480 --> 00:12:17,400 Speaker 2: are doing well, so when interest rates start to fall, 216 00:12:17,440 --> 00:12:19,400 Speaker 2: people have more money in their pocket, they spend more 217 00:12:19,760 --> 00:12:22,680 Speaker 2: money on stuff. So companies like West Farmers which owns 218 00:12:22,760 --> 00:12:27,880 Speaker 2: Bunnings and office works and Kmart, Aristocrat Leisure, the gaming 219 00:12:27,880 --> 00:12:31,360 Speaker 2: machine manufacturer Harvey Norman jb Hi Fi. They've all done 220 00:12:31,360 --> 00:12:34,880 Speaker 2: really well. It is quite remarkable that this share market 221 00:12:35,280 --> 00:12:39,600 Speaker 2: is where it is. Morning Star have done some work. 222 00:12:39,600 --> 00:12:42,760 Speaker 2: They reckon that our share market is about nine percent 223 00:12:43,120 --> 00:12:47,440 Speaker 2: over valued, and they say Wall Streets about four percent overvalued. 224 00:12:48,400 --> 00:12:49,880 Speaker 2: The challenge for the next couple of weeks is that 225 00:12:49,880 --> 00:12:52,720 Speaker 2: we're coming into earning season, so any company that disappoints 226 00:12:52,800 --> 00:12:55,560 Speaker 2: is going to be sold off be time. Even those 227 00:12:55,600 --> 00:12:58,360 Speaker 2: that do well may not get a big jump. Now, 228 00:12:58,679 --> 00:13:03,560 Speaker 2: I'm not a no investment podcast. I can't predict share prices, 229 00:13:04,000 --> 00:13:08,520 Speaker 2: but it is certainly remarkable. Now share market has stayed 230 00:13:08,720 --> 00:13:11,880 Speaker 2: so strong, particularly the banks, how they just keep going. 231 00:13:12,600 --> 00:13:15,800 Speaker 2: That is a remarkable story this week. Stop rolling your eyes, 232 00:13:15,840 --> 00:13:16,640 Speaker 2: Michael over to you. 233 00:13:18,280 --> 00:13:21,680 Speaker 1: I'm not rolling my eyes. I just love how you're 234 00:13:21,720 --> 00:13:27,680 Speaker 1: able to kind of frame frame the local market hitting 235 00:13:27,679 --> 00:13:30,520 Speaker 1: a record as a remarkable story. Do you know how 236 00:13:30,520 --> 00:13:32,800 Speaker 1: many times have hit a record in twenty twenty four? 237 00:13:35,280 --> 00:13:38,959 Speaker 1: Twenty four times? Twenty four times. 238 00:13:38,800 --> 00:13:40,320 Speaker 2: So isn't remarkable. It's still going. 239 00:13:40,640 --> 00:13:44,480 Speaker 1: That's five all time highs by March of last year, 240 00:13:44,800 --> 00:13:45,920 Speaker 1: twenty four by the end of. 241 00:13:45,880 --> 00:13:47,280 Speaker 3: The very close to a regard. 242 00:13:47,840 --> 00:13:51,000 Speaker 2: Can I just also say yeah, it's a rebuttal second, 243 00:13:51,320 --> 00:13:53,880 Speaker 2: Michael yesterday asked me what I was going to do, 244 00:13:53,920 --> 00:13:55,520 Speaker 2: so I did the right thing and told him so 245 00:13:55,600 --> 00:14:00,880 Speaker 2: he has obviously gone and done research just to kick 246 00:14:00,960 --> 00:14:06,600 Speaker 2: me on the way through, which cunning I absolutely hate. 247 00:14:06,960 --> 00:14:11,319 Speaker 2: Though part of me is like, ah yeah, bugger idea. 248 00:14:12,160 --> 00:14:13,480 Speaker 2: Right at Michael, what's remarkable. 249 00:14:13,800 --> 00:14:15,959 Speaker 1: Mine's a positive story. I don't want to get stuck 250 00:14:16,000 --> 00:14:20,400 Speaker 1: in all of that negativity, even though I brought. 251 00:14:20,240 --> 00:14:21,240 Speaker 3: It up, started it. 252 00:14:21,360 --> 00:14:24,280 Speaker 1: Yeah, that's right. I've got a good success story. I 253 00:14:24,360 --> 00:14:26,320 Speaker 1: love a great success story. We all do here on 254 00:14:26,400 --> 00:14:33,480 Speaker 1: fear and greed and Chemist Warehouse is the Australian business 255 00:14:33,720 --> 00:14:37,360 Speaker 1: success story of twenty twenty five. I know it's very 256 00:14:37,400 --> 00:14:40,920 Speaker 1: early to call it, but it is the don't say anything, sean, 257 00:14:41,400 --> 00:14:49,360 Speaker 1: just stop stop. This week, shareholders gave the green light 258 00:14:50,160 --> 00:14:54,880 Speaker 1: the green light to the merger between Chemist Warehouse and 259 00:14:54,920 --> 00:14:56,480 Speaker 1: Sigma Pharmaceuticals. 260 00:14:56,760 --> 00:14:57,240 Speaker 2: It is. 261 00:14:58,680 --> 00:15:05,520 Speaker 1: An example of the very intriguingly named reverse takeover. 262 00:15:08,080 --> 00:15:11,760 Speaker 2: It's tiresome, demerit point, demerit point. 263 00:15:12,400 --> 00:15:16,960 Speaker 1: I just got you too, just just dull. You are 264 00:15:17,200 --> 00:15:19,520 Speaker 1: just dull here I was when I was researching. I'm 265 00:15:19,520 --> 00:15:24,400 Speaker 1: like reverse takeover, door back door, entry to the ASX 266 00:15:24,760 --> 00:15:27,800 Speaker 1: and I had a good giggle to myself for about 267 00:15:27,840 --> 00:15:30,160 Speaker 1: two or three minutes as I was researching this story. 268 00:15:30,640 --> 00:15:32,760 Speaker 3: And I'm laughing in his study. 269 00:15:33,160 --> 00:15:36,520 Speaker 1: Yep, that's right. Anyway, Chemist Warehouse is the much bigger 270 00:15:36,560 --> 00:15:39,400 Speaker 1: part of the business, Sigma being the listed company. 271 00:15:39,600 --> 00:15:42,160 Speaker 2: Anyway, no matter what he says, at this point, it's gone. 272 00:15:42,320 --> 00:15:49,880 Speaker 1: I've lost credibility absolutely, like it's just a back door anyway. Anyway, 273 00:15:49,920 --> 00:15:57,160 Speaker 1: I'm mature now. Together together these two create an extraordinary unit, 274 00:15:57,400 --> 00:16:01,640 Speaker 1: a thirty billion dollar company. It's cleared all kinds of 275 00:16:01,720 --> 00:16:04,480 Speaker 1: hurdles to get to this point, and it has made 276 00:16:04,520 --> 00:16:08,880 Speaker 1: some people very, very very wealthy. Chemists Warehouse is a 277 00:16:08,880 --> 00:16:12,040 Speaker 1: family owned business. The founders, three of them, they'll all 278 00:16:12,080 --> 00:16:15,600 Speaker 1: be billionaires thirteenth of feb Is when shares in the 279 00:16:15,720 --> 00:16:20,760 Speaker 1: new big entities start trading. This is what Adam, the 280 00:16:20,880 --> 00:16:28,360 Speaker 1: ASX needs, new life, new exciting life. This is going 281 00:16:28,400 --> 00:16:31,440 Speaker 1: to affect a lot of investors, plenty of index funds 282 00:16:31,440 --> 00:16:33,040 Speaker 1: that will be forced to buy into the company just 283 00:16:33,120 --> 00:16:36,640 Speaker 1: because it is so don big, a thirty billion dollar company, 284 00:16:36,840 --> 00:16:40,200 Speaker 1: one of the most recognizable brands in the country. And Adam, 285 00:16:40,240 --> 00:16:42,800 Speaker 1: I know that you're a fan of marketing and brands 286 00:16:42,880 --> 00:16:47,400 Speaker 1: and all of these things. Chemists Warehouse very recognizable, created 287 00:16:47,440 --> 00:16:49,640 Speaker 1: a whole sack of new millionaires as well, well over 288 00:16:49,680 --> 00:16:53,400 Speaker 1: one hundred Chemists Warehouse kind of investors, people who are 289 00:16:53,400 --> 00:16:56,680 Speaker 1: already part of the business, senior executives, franchisees who have 290 00:16:57,440 --> 00:17:01,600 Speaker 1: left with now stock in the newcomer, a bunch of millionaires, 291 00:17:01,960 --> 00:17:06,040 Speaker 1: hundreds somewhere between one hundred and two hundred. That counts 292 00:17:06,040 --> 00:17:09,240 Speaker 1: as one hundreds. It is big, it is remarkable. It 293 00:17:09,359 --> 00:17:12,120 Speaker 1: is the Australian success story of twenty twenty five. 294 00:17:12,359 --> 00:17:14,400 Speaker 2: So why is it remarkable? This week? That's the part 295 00:17:14,440 --> 00:17:17,960 Speaker 2: of the get shareholder green light share hold a green light. 296 00:17:18,200 --> 00:17:18,360 Speaker 3: Yeah. 297 00:17:18,400 --> 00:17:19,439 Speaker 1: Yeah, the final hurdle. 298 00:17:19,560 --> 00:17:22,800 Speaker 2: So the three Chemist Warehouse guys who owned it said, well, 299 00:17:22,880 --> 00:17:24,720 Speaker 2: we're going to make fifteen billion out of this deal. 300 00:17:24,760 --> 00:17:25,560 Speaker 2: Di you rerecton, we should do it. 301 00:17:25,800 --> 00:17:28,040 Speaker 3: I don't know, maybe bit risky, not sure. 302 00:17:28,320 --> 00:17:32,200 Speaker 1: It was the final hurdle and now it has been 303 00:17:32,760 --> 00:17:33,800 Speaker 1: clean ADM. 304 00:17:33,880 --> 00:17:37,360 Speaker 3: You Yeah, so great story. And do you know how 305 00:17:37,359 --> 00:17:39,040 Speaker 3: they celebrated Michael. 306 00:17:39,680 --> 00:17:41,960 Speaker 1: I did see this and this is how I would 307 00:17:41,960 --> 00:17:42,399 Speaker 1: celebrate it. 308 00:17:42,600 --> 00:17:46,080 Speaker 3: Awesome. They went back to the Olympic Hotel for a schnitty. 309 00:17:46,920 --> 00:17:47,760 Speaker 1: It's just amazing. 310 00:17:47,800 --> 00:17:51,240 Speaker 3: It's such a great founder story of like fifty years 311 00:17:51,280 --> 00:17:52,680 Speaker 3: in the making, wonderful. 312 00:17:52,680 --> 00:17:55,480 Speaker 2: Have they got the parmeshana or not? 313 00:17:56,640 --> 00:17:59,520 Speaker 3: See that is a good question. Tell us a lot 314 00:17:59,520 --> 00:18:02,359 Speaker 3: about it, and doesn't it Because I'm silly, I can't 315 00:18:02,359 --> 00:18:06,800 Speaker 3: have either of them any it's not about me. Great story, 316 00:18:06,840 --> 00:18:10,879 Speaker 3: but Michael, for me, wasn't this week. You know that 317 00:18:11,080 --> 00:18:14,840 Speaker 3: we knew this was coming, and so yes, yes, remarkable, 318 00:18:16,080 --> 00:18:18,560 Speaker 3: but it was a done deal some time ago. And 319 00:18:18,600 --> 00:18:21,680 Speaker 3: so I think that for all of Sean's points, it's 320 00:18:21,680 --> 00:18:23,840 Speaker 3: a record. Yeah, there's been a number of records, but 321 00:18:23,840 --> 00:18:25,680 Speaker 3: that's namely of them. Yet another one who has been 322 00:18:25,720 --> 00:18:29,880 Speaker 3: broken and so early in the year, what a start. 323 00:18:30,400 --> 00:18:33,800 Speaker 3: But also Sean said, the reporting season that's coming and 324 00:18:33,840 --> 00:18:36,080 Speaker 3: the risk of being overvalue, the risk of interest rate 325 00:18:36,200 --> 00:18:40,919 Speaker 3: changes or not happening. So it's a delicate, delicate balance 326 00:18:40,920 --> 00:18:43,600 Speaker 3: and so many trillions are affected. So I think Sean 327 00:18:43,600 --> 00:18:45,160 Speaker 3: has to win for remarkable story of the week. 328 00:18:48,520 --> 00:18:54,240 Speaker 2: Okay, let's take a break. 329 00:18:54,640 --> 00:18:57,160 Speaker 1: This is a family podcast, Sean, we're trying to model 330 00:18:57,240 --> 00:18:58,240 Speaker 1: good sportsmanship. 331 00:19:01,600 --> 00:19:05,560 Speaker 2: Michael. Yeah, let's just apologies. 332 00:19:04,960 --> 00:19:09,840 Speaker 1: For any parents to introduce them explaining that's right, we'll 333 00:19:09,840 --> 00:19:15,600 Speaker 1: take a quick break, come back with a sleeper story. 334 00:19:18,800 --> 00:19:20,920 Speaker 1: All right, Sean, we are looking for a sleeper story 335 00:19:20,920 --> 00:19:22,679 Speaker 1: of the week, one that's flying under the radar a 336 00:19:22,720 --> 00:19:23,119 Speaker 1: little bit. 337 00:19:24,600 --> 00:19:25,280 Speaker 2: You go first. 338 00:19:26,440 --> 00:19:30,480 Speaker 1: I couldn't even decide that. Look Cassi, mind's back. Gentlemen 339 00:19:31,240 --> 00:19:36,680 Speaker 1: to nineteen ninety eight God, which was the UN Designated 340 00:19:36,800 --> 00:19:43,119 Speaker 1: International Year of Oceans. Nineteen ninety nine was the International 341 00:19:43,200 --> 00:19:46,399 Speaker 1: Year of Older Persons, one for the two of you. 342 00:19:46,600 --> 00:19:50,640 Speaker 1: Two thousand and one was the International Year of Volunteers. 343 00:19:51,240 --> 00:19:55,840 Speaker 1: Twenty twenty five, my prediction will be the year of 344 00:19:55,960 --> 00:20:01,480 Speaker 1: competition between Australian banks to lure deposits and savings account customers. 345 00:20:01,760 --> 00:20:08,919 Speaker 1: It's not quite as catchy, but it's very important. Cancer 346 00:20:09,400 --> 00:20:14,560 Speaker 1: analysis this week revealed how banks are using perks and 347 00:20:14,680 --> 00:20:19,919 Speaker 1: cash back offers to lure customers. We are talking everything 348 00:20:20,040 --> 00:20:20,920 Speaker 1: they are just through. 349 00:20:22,560 --> 00:20:22,800 Speaker 2: See. 350 00:20:23,080 --> 00:20:25,240 Speaker 1: I was trying to I was, funnily enough, I was 351 00:20:25,240 --> 00:20:28,000 Speaker 1: trying to lure you into saying the word lure, because 352 00:20:28,000 --> 00:20:30,200 Speaker 1: you say it in such a creepy way that it's 353 00:20:30,320 --> 00:20:33,400 Speaker 1: just it. It stays with you. Do it one more time. 354 00:20:33,400 --> 00:20:37,400 Speaker 1: This is this is for the families. Lure creepy as heck. 355 00:20:37,960 --> 00:20:45,000 Speaker 1: The sign on bonuses referral cash, ongoing discounts, there are 356 00:20:45,040 --> 00:20:48,280 Speaker 1: rewards points, there are donations being made in your name 357 00:20:48,400 --> 00:20:52,520 Speaker 1: to various charities, Like every single thing is on offer. 358 00:20:52,800 --> 00:20:55,360 Speaker 1: They are trying to attract people to bank with them 359 00:20:55,359 --> 00:20:59,320 Speaker 1: for their deposits and everyday transaction accounts because, as Sean 360 00:20:59,400 --> 00:21:02,679 Speaker 1: we discussed through the week, it gives banks access to 361 00:21:02,800 --> 00:21:06,119 Speaker 1: money to fund their lending. And it is cheap money, 362 00:21:06,119 --> 00:21:07,680 Speaker 1: the cheapest they can get. So you can I suddenly 363 00:21:07,760 --> 00:21:11,800 Speaker 1: understand why they are all so desperate to get it. 364 00:21:11,840 --> 00:21:20,399 Speaker 1: So this is it. This is the year when the 365 00:21:20,560 --> 00:21:25,840 Speaker 1: humble everyday savings account becomes the hottest commodity in town. 366 00:21:26,000 --> 00:21:29,199 Speaker 1: Every bank is going to want it and there are 367 00:21:29,240 --> 00:21:34,360 Speaker 1: going to be bonuses galore to lure you in shop around. 368 00:21:34,760 --> 00:21:37,639 Speaker 1: That's the best piece of advice. And remember who told 369 00:21:37,680 --> 00:21:41,680 Speaker 1: you about it, the man of the people, Michael Thompson. 370 00:21:42,280 --> 00:21:43,240 Speaker 1: You heard it here first. 371 00:21:44,080 --> 00:21:45,520 Speaker 2: Right. Let me give you a sleep a story that 372 00:21:45,520 --> 00:21:51,120 Speaker 2: actually matters seems to me, And ironically it involves Donald 373 00:21:51,119 --> 00:21:56,240 Speaker 2: Trump because because, because, because what has he done in 374 00:21:56,280 --> 00:21:59,119 Speaker 2: the last ten to twelve days. So, Adam, allow me 375 00:21:59,200 --> 00:22:01,760 Speaker 2: to kind of push beyond the last seven to go 376 00:22:01,840 --> 00:22:06,080 Speaker 2: to the last ten. He's removed criminal illegal aliens from 377 00:22:06,119 --> 00:22:08,560 Speaker 2: the US of A. He's tough and border defenses. He's 378 00:22:08,600 --> 00:22:12,080 Speaker 2: watered down and withdrew Biden era regulations from the economy, 379 00:22:12,440 --> 00:22:15,560 Speaker 2: climate abortion. He's frozer federal grants and offered bias to 380 00:22:15,640 --> 00:22:20,720 Speaker 2: federal civil service workers. He's given executive orders to create 381 00:22:20,720 --> 00:22:24,480 Speaker 2: a nine dome missile defense. He's barred transgender groups from 382 00:22:24,520 --> 00:22:27,320 Speaker 2: serving the military. He's reinstated those discharged from the military 383 00:22:27,320 --> 00:22:30,840 Speaker 2: for refusing a COVID vaccine. He's killed the diversity, equity 384 00:22:30,880 --> 00:22:33,120 Speaker 2: and inclusion programs. He's moved to withdraw from the Wealth 385 00:22:33,119 --> 00:22:36,560 Speaker 2: Health Organization, the Paris Climate Agreement. He's ended birth right citizenship. 386 00:22:36,920 --> 00:22:40,000 Speaker 2: He's declassified records on the assassinations of JFKM and m 387 00:22:40,160 --> 00:22:43,720 Speaker 2: MLK Martin Luther King. He's pardoned one hundred and seventy 388 00:22:43,880 --> 00:22:46,520 Speaker 2: January six riders. And he's only just starting right. So 389 00:22:46,840 --> 00:22:50,880 Speaker 2: he is on a tear. That's the fact. The sleeper part. 390 00:22:51,760 --> 00:22:55,120 Speaker 2: He's done this by executive order, but it can actually 391 00:22:55,560 --> 00:22:59,880 Speaker 2: be undone now the next president can come and undo 392 00:23:00,160 --> 00:23:04,280 Speaker 2: everything that Donald Trump has done with the slash of 393 00:23:04,280 --> 00:23:08,639 Speaker 2: a pen or whatever they actually do. Congress has the 394 00:23:08,760 --> 00:23:13,280 Speaker 2: power to overturn an executive order by passing legislation that 395 00:23:13,400 --> 00:23:17,760 Speaker 2: invalidates it the Congress. I know that the Republicans have 396 00:23:18,640 --> 00:23:22,400 Speaker 2: the Congress, but it's not like Australia where everyone votes 397 00:23:22,440 --> 00:23:25,680 Speaker 2: along party lines. Congress already some of the stuff he's done, 398 00:23:25,720 --> 00:23:28,920 Speaker 2: You've had all sorts of Republicans voting against it. Congress 399 00:23:28,960 --> 00:23:32,800 Speaker 2: can also withhold funding for a lot of these orders. 400 00:23:33,040 --> 00:23:36,320 Speaker 2: The point is Trump is bluff and bluster always, he's 401 00:23:36,400 --> 00:23:41,399 Speaker 2: fantastic at it. But can he actually get these shock 402 00:23:41,440 --> 00:23:46,400 Speaker 2: and awe executive orders to sticks? Got to deal with Congress. 403 00:23:46,480 --> 00:23:49,720 Speaker 2: The sleeper part of this is we're all up in 404 00:23:49,880 --> 00:23:52,240 Speaker 2: arms about Donald Trump and some of the things he's done, 405 00:23:52,320 --> 00:23:53,960 Speaker 2: or people are up in arms about some of the 406 00:23:54,000 --> 00:23:56,919 Speaker 2: things he's done. Others are very very supportive. But at 407 00:23:56,920 --> 00:23:59,680 Speaker 2: the end of the day, the next president can reverse them, 408 00:24:00,000 --> 00:24:03,479 Speaker 2: and in fact, Biden reversed a third of Donald Trump's 409 00:24:03,480 --> 00:24:07,719 Speaker 2: executive orders in his four year term. But more important, 410 00:24:07,760 --> 00:24:09,240 Speaker 2: he's got to get through Congress. Has got to get 411 00:24:09,240 --> 00:24:13,040 Speaker 2: money out of Congress, and Congress is not necessarily behind 412 00:24:13,200 --> 00:24:17,280 Speaker 2: Donald Trump. So all this stuff we're talking about may 413 00:24:17,320 --> 00:24:20,040 Speaker 2: not be. Some of it will, obviously, but a bunch 414 00:24:20,080 --> 00:24:25,040 Speaker 2: of it won't be. My sleeper story, Adam. 415 00:24:23,480 --> 00:24:28,240 Speaker 3: Both really good. Actually, Sean has just been such a 416 00:24:28,280 --> 00:24:32,200 Speaker 3: spectacle out of the US Donald Trump, the executive orders 417 00:24:32,240 --> 00:24:36,200 Speaker 3: and the reactions to them, Like we've already seen one 418 00:24:36,240 --> 00:24:38,760 Speaker 3: get reversed, so that was pretty quick. 419 00:24:38,800 --> 00:24:40,640 Speaker 2: But I mean the lawyers the next four years, lawyers 420 00:24:40,680 --> 00:24:42,000 Speaker 2: are going to make a stack of money. 421 00:24:42,080 --> 00:24:45,520 Speaker 3: Well, and that's a fascinating point. Like Washington will grind 422 00:24:45,560 --> 00:24:46,440 Speaker 3: into action on. 423 00:24:46,359 --> 00:24:50,160 Speaker 2: This, or quite the opposite, they'll grind to a halt 424 00:24:50,480 --> 00:24:53,320 Speaker 2: because everything report in Congress. 425 00:24:53,240 --> 00:24:56,879 Speaker 3: True, and so this can suck up a huge amount 426 00:24:56,880 --> 00:25:01,919 Speaker 3: of oxygen when it comes to Australia affecting people. And Michael, 427 00:25:01,960 --> 00:25:04,440 Speaker 3: your point really valid on the battle for bank deposits, 428 00:25:04,440 --> 00:25:08,719 Speaker 3: which you know, great, but the cost of living, how 429 00:25:08,800 --> 00:25:12,600 Speaker 3: much deposits have we all got to make? And so 430 00:25:12,720 --> 00:25:15,000 Speaker 3: I know that this is that's a very general comment 431 00:25:15,400 --> 00:25:17,760 Speaker 3: and it is very interesting. So I can't split these 432 00:25:17,800 --> 00:25:21,800 Speaker 3: two stories. It's another dead heat half a point each. 433 00:25:22,359 --> 00:25:25,560 Speaker 2: When Michael starts nodding his head, yeah yeah, yeah, he 434 00:25:25,640 --> 00:25:26,840 Speaker 2: knows he's got away with it. 435 00:25:29,720 --> 00:25:30,840 Speaker 1: I'm not saying anything. 436 00:25:31,040 --> 00:25:34,359 Speaker 3: He feels lucky something. 437 00:25:35,280 --> 00:25:37,520 Speaker 1: So what's our score? It is? What two to one? 438 00:25:37,760 --> 00:25:39,280 Speaker 3: Two? One too short? 439 00:25:39,400 --> 00:25:41,359 Speaker 2: That's one, Michael, that's a birthday gift. 440 00:25:41,720 --> 00:25:44,560 Speaker 1: No, no, that's legit like that is this is the 441 00:25:44,720 --> 00:25:46,159 Speaker 1: you can still bring it home, Michael. 442 00:25:46,280 --> 00:25:46,560 Speaker 3: Come on? 443 00:25:46,840 --> 00:25:51,480 Speaker 1: Indeed, all right, favorite, Sorry you go first, Sean, Well. 444 00:25:51,359 --> 00:25:54,600 Speaker 2: What I loved this week was dated from Expedia in 445 00:25:54,680 --> 00:25:59,000 Speaker 2: this report called air hacks that tells us when to 446 00:25:59,080 --> 00:26:03,119 Speaker 2: book an airline flight. So booking an international airfair on 447 00:26:03,119 --> 00:26:05,800 Speaker 2: a Sunday eight weeks in advance, flying on a Thursday, 448 00:26:05,840 --> 00:26:08,320 Speaker 2: preferably in January, best way to save money on airfares? 449 00:26:08,359 --> 00:26:11,920 Speaker 2: Who knew? Who knew? Well? Air hacks you. It looked 450 00:26:11,960 --> 00:26:15,160 Speaker 2: at bookings hundreds of thousands of bookings across its site. 451 00:26:15,680 --> 00:26:20,159 Speaker 2: It found if you book on a Sunday, you can 452 00:26:20,200 --> 00:26:22,960 Speaker 2: save as much as seventeen percent off international fairs, twenty 453 00:26:23,000 --> 00:26:26,320 Speaker 2: percent off domestic fares. If you fly overseas on a Thursday. 454 00:26:26,320 --> 00:26:28,320 Speaker 2: And who doesn't want to fly overseas on a Thursday? 455 00:26:28,359 --> 00:26:31,480 Speaker 2: Everyone wants? Well, you can say eight percent, fly domestically 456 00:26:31,520 --> 00:26:33,320 Speaker 2: on a Saturday morning twenty seven percent. 457 00:26:33,840 --> 00:26:35,760 Speaker 3: Look for Sean's holiday booking coming. 458 00:26:36,280 --> 00:26:40,760 Speaker 2: That's right January alas it's over cheapest month for domestic 459 00:26:40,840 --> 00:26:44,360 Speaker 2: and international travel. It's about eleven percent less than September. 460 00:26:44,760 --> 00:26:48,480 Speaker 2: Quietest month for air travel is February this month, So 461 00:26:48,680 --> 00:26:52,280 Speaker 2: if you want the extra seed, jump on in terms 462 00:26:52,280 --> 00:26:56,040 Speaker 2: of when you should book eight weeks ahead for international travel, 463 00:26:56,320 --> 00:26:58,440 Speaker 2: not the six months that people talk about, the twelve 464 00:26:58,480 --> 00:27:02,080 Speaker 2: months that people talk about. And domestic it's six months. 465 00:27:03,240 --> 00:27:06,199 Speaker 2: My favorite story, because I mean, we all travel, we 466 00:27:06,240 --> 00:27:09,200 Speaker 2: all use planes. This is telling me how to get 467 00:27:09,280 --> 00:27:12,440 Speaker 2: cheap deals. That's what life is about, as far as 468 00:27:12,440 --> 00:27:16,520 Speaker 2: I'm concerned. It is how much of your time over 469 00:27:16,560 --> 00:27:20,760 Speaker 2: the holidays was spent thinking about your next holiday? I mean, Jackie, yeah, 470 00:27:20,840 --> 00:27:22,840 Speaker 2: Jackie and I don't like. We don't like coming home 471 00:27:22,840 --> 00:27:26,240 Speaker 2: from a holiday without having flew through and often booked 472 00:27:26,280 --> 00:27:26,840 Speaker 2: the next one. 473 00:27:28,240 --> 00:27:29,280 Speaker 3: So where have your book Sean? 474 00:27:30,680 --> 00:27:33,080 Speaker 1: Oh, dear, oh, dear oh? 475 00:27:33,119 --> 00:27:35,320 Speaker 2: Do you have caught me out someone we have booked? 476 00:27:37,400 --> 00:27:38,280 Speaker 1: When is it? Sean? 477 00:27:42,320 --> 00:27:45,159 Speaker 2: No, Look, I think late August September. We might need 478 00:27:45,280 --> 00:27:46,600 Speaker 2: Jenjin to come and help out. 479 00:27:48,119 --> 00:27:51,560 Speaker 1: That six month window sort of came in realmant month window. 480 00:27:51,600 --> 00:28:00,000 Speaker 2: That's household Norway fantastic, my dad, I had to say, 481 00:28:00,080 --> 00:28:03,400 Speaker 2: Raljivik though, is that how You're right? Raki Vic raki 482 00:28:03,480 --> 00:28:06,720 Speaker 2: Vic pig. I didn't know how to say it, Michael. 483 00:28:07,280 --> 00:28:10,200 Speaker 1: You have taken a lot of time here, Sean, And 484 00:28:10,720 --> 00:28:17,879 Speaker 1: as a yes, savage well played out of If I 485 00:28:18,000 --> 00:28:19,920 Speaker 1: was the judge, I would give you a bonus mark 486 00:28:20,000 --> 00:28:22,720 Speaker 1: for that one. Can I just do my favorite story please? 487 00:28:22,720 --> 00:28:24,240 Speaker 1: Because we are running out of time and you've left 488 00:28:24,240 --> 00:28:27,760 Speaker 1: me with very little time here, Sean. There's really only 489 00:28:27,800 --> 00:28:29,720 Speaker 1: one option for favorite story of the week, and we 490 00:28:29,760 --> 00:28:33,240 Speaker 1: are united in the fact that we all miss the concord. 491 00:28:33,800 --> 00:28:40,200 Speaker 1: All right, I'm sorry that I wasn't joking with that. 492 00:28:40,280 --> 00:28:44,560 Speaker 1: I thought we were genuinely missing the concord. Anyway, there 493 00:28:44,600 --> 00:28:48,600 Speaker 1: is a new concord for a new generation, and this 494 00:28:48,680 --> 00:28:53,120 Speaker 1: week the Boom Supersonic XB one broke the sound barrier 495 00:28:53,600 --> 00:28:57,320 Speaker 1: for the first time. It flew faster than one two 496 00:28:57,440 --> 00:29:00,720 Speaker 1: hundred and forty kilometers per hour. There are a bunch 497 00:29:00,760 --> 00:29:05,200 Speaker 1: of reasons why this is so done exciting. It is 498 00:29:05,280 --> 00:29:09,880 Speaker 1: the first civilian aircraft to achieve that feat since the 499 00:29:09,920 --> 00:29:14,920 Speaker 1: concord was retired more than twenty years ago. It took 500 00:29:14,920 --> 00:29:18,400 Speaker 1: off from an airstrip near Edwards Air Force Base in California, 501 00:29:18,840 --> 00:29:22,560 Speaker 1: flew through the Bell X one supersonic Corridor and the 502 00:29:22,600 --> 00:29:26,640 Speaker 1: Black Mountain Supersonic Corridor for thirty five minutes. This is 503 00:29:26,880 --> 00:29:31,040 Speaker 1: it is almost difficult to kind of overstate how significant 504 00:29:31,120 --> 00:29:34,240 Speaker 1: this is. This is a massive, massive step. 505 00:29:34,080 --> 00:29:36,200 Speaker 2: As a plane never broken the sound areer. 506 00:29:36,800 --> 00:29:41,000 Speaker 1: No commercial aircraft has done it since the Concord. Sean, 507 00:29:41,080 --> 00:29:42,800 Speaker 1: I thought I made that abundantly clear. 508 00:29:42,880 --> 00:29:44,800 Speaker 2: So when we did the concord, when did that first 509 00:29:44,800 --> 00:29:46,240 Speaker 2: fly seventy. 510 00:29:47,480 --> 00:29:51,240 Speaker 1: This is a massive step. So the test aircraft is 511 00:29:51,280 --> 00:29:58,400 Speaker 1: one years. I stay quiet while you're talking. I rarely interject, 512 00:29:59,040 --> 00:30:03,680 Speaker 1: even though your stories are universally dull and need me 513 00:30:03,800 --> 00:30:09,760 Speaker 1: in them. The test aircraft is one third the size 514 00:30:09,800 --> 00:30:15,560 Speaker 1: of the full overture airline airliner, the airliner, the actual plane, 515 00:30:16,520 --> 00:30:19,280 Speaker 1: the company. And here's the economic significance of this, the 516 00:30:19,360 --> 00:30:25,320 Speaker 1: business impact. The company has already received one hundred and 517 00:30:25,560 --> 00:30:31,840 Speaker 1: thirty orders for this jet from American Airlines, from United 518 00:30:32,160 --> 00:30:37,440 Speaker 1: from Japan as well. This is significant. This is going 519 00:30:37,480 --> 00:30:41,720 Speaker 1: to change international aviation. Flying from London to New York 520 00:30:41,760 --> 00:30:44,320 Speaker 1: in three and a half hours, we are going back 521 00:30:44,360 --> 00:30:47,920 Speaker 1: to the efficient days of the Concord. Couple of fun 522 00:30:48,000 --> 00:30:50,719 Speaker 1: facts for you. Looks like you both want some fun facts. 523 00:30:50,840 --> 00:30:52,640 Speaker 1: Remember how the concord had the nose. 524 00:30:52,640 --> 00:30:53,640 Speaker 2: I just wanted to end. 525 00:30:54,920 --> 00:30:57,600 Speaker 1: Well, you are the one that slows me down. Your 526 00:30:57,720 --> 00:31:04,560 Speaker 1: goose the concord, right, it's looking at the looking at 527 00:31:04,600 --> 00:31:05,440 Speaker 1: the looking at this. 528 00:31:05,640 --> 00:31:08,000 Speaker 2: Right. We're in podcasts. People can't see your hand. 529 00:31:08,360 --> 00:31:11,280 Speaker 1: They can see it because we do videos and things 530 00:31:11,320 --> 00:31:13,160 Speaker 1: on TikTok and Instagram. 531 00:31:13,280 --> 00:31:14,000 Speaker 2: Come on, come on. 532 00:31:14,120 --> 00:31:17,320 Speaker 1: So the picture of this is the concord when it's flying. Sure, 533 00:31:18,360 --> 00:31:23,440 Speaker 1: then when it is taking off and landing, right, it 534 00:31:24,000 --> 00:31:26,880 Speaker 1: has a big nose. Troop right, and so the nose 535 00:31:27,000 --> 00:31:30,280 Speaker 1: is lowered for takeoff and landing. And that has nothing 536 00:31:30,320 --> 00:31:32,560 Speaker 1: to do with anything except for the fact it was 537 00:31:32,600 --> 00:31:35,600 Speaker 1: done so that the pilots could actually see. They couldn't 538 00:31:35,640 --> 00:31:38,240 Speaker 1: see past the nose in order to do it. How 539 00:31:38,280 --> 00:31:41,280 Speaker 1: does this new jet get past that challenge. They don't 540 00:31:41,280 --> 00:31:45,760 Speaker 1: have a droopy nose. No, they use augmented reality vision. Essentially. 541 00:31:45,840 --> 00:31:48,080 Speaker 1: It is like that they've got cameras and everything mounted 542 00:31:48,120 --> 00:31:50,040 Speaker 1: all around it so they can see what they are 543 00:31:50,080 --> 00:31:53,200 Speaker 1: seeing on the screen without actually needing to look out 544 00:31:53,200 --> 00:31:53,680 Speaker 1: the windows. 545 00:31:53,720 --> 00:31:57,400 Speaker 2: Is that augmented reality? Yes? Yes, yes, it is just 546 00:31:57,440 --> 00:31:58,920 Speaker 2: a video of No, it's not. 547 00:31:59,160 --> 00:32:03,240 Speaker 1: It's augmented reality. Sure in many ways, too many ways 548 00:32:03,240 --> 00:32:06,440 Speaker 1: for me to explain. Yep, dun dundundun dun dun dune. 549 00:32:06,920 --> 00:32:09,040 Speaker 1: And so that's really cool because that means then it 550 00:32:09,080 --> 00:32:13,080 Speaker 1: can stay perfectly straight, perfectly flat, perfectly aerodynamic and streamlined, 551 00:32:13,120 --> 00:32:15,280 Speaker 1: and then it can get to those speeds without causing 552 00:32:15,360 --> 00:32:17,680 Speaker 1: the friction that overheats the plane, et cetera, which is 553 00:32:17,920 --> 00:32:19,719 Speaker 1: some of the many, many problems that have been experienced 554 00:32:19,760 --> 00:32:20,800 Speaker 1: with supersonic trailers. 555 00:32:21,080 --> 00:32:22,360 Speaker 2: Much research on this story. 556 00:32:22,600 --> 00:32:25,160 Speaker 1: Oh, I love this story full circle for the US, 557 00:32:25,280 --> 00:32:28,080 Speaker 1: this goes you know why, because when the concord was 558 00:32:28,120 --> 00:32:31,320 Speaker 1: being developed in the sixties, right, do you know do 559 00:32:31,360 --> 00:32:33,200 Speaker 1: you know no, no, no, no no, you took up too 560 00:32:33,240 --> 00:32:35,200 Speaker 1: much time. Do you know who was you know who 561 00:32:35,280 --> 00:32:39,760 Speaker 1: was competing to beat the concord. So Kennedy in the 562 00:32:39,880 --> 00:32:43,520 Speaker 1: sixties said, the US is going to do this as well. 563 00:32:43,520 --> 00:32:46,640 Speaker 1: We are going to have our own supersonic aircraft, right, 564 00:32:46,960 --> 00:32:48,880 Speaker 1: And so there was this big push in the US 565 00:32:48,920 --> 00:32:52,200 Speaker 1: to try and get their own supersonic commercial airliner going. 566 00:32:52,440 --> 00:32:55,240 Speaker 1: And so were all these plans. Boeing ended up running 567 00:32:55,240 --> 00:32:57,160 Speaker 1: with it, flying with it, trying. 568 00:32:56,920 --> 00:32:59,280 Speaker 2: You had to explain to many people who weren't alive 569 00:32:59,320 --> 00:33:01,800 Speaker 2: in the seventies and sixties in the Concord era. Who 570 00:33:01,880 --> 00:33:04,240 Speaker 2: made the concord the point being. 571 00:33:04,080 --> 00:33:06,640 Speaker 1: That it was the British and the French. 572 00:33:06,920 --> 00:33:09,000 Speaker 2: Yeah, it wasn't the US, that's the point. 573 00:33:08,720 --> 00:33:14,200 Speaker 1: Correct, Yeah, but everybody knows that, No they don't. Anyway, Look, 574 00:33:14,280 --> 00:33:17,800 Speaker 1: full story, a long story, short full circle comes all 575 00:33:17,800 --> 00:33:21,440 Speaker 1: the way back to now. This is an American designed 576 00:33:21,680 --> 00:33:27,440 Speaker 1: and built supersonic civilian aircraft sixty years later. What a story. 577 00:33:27,960 --> 00:33:30,600 Speaker 1: It is a story for the ages, Adam, I've left 578 00:33:30,640 --> 00:33:31,960 Speaker 1: you not much time for a judgment. 579 00:33:32,280 --> 00:33:36,040 Speaker 3: Yes, so look what happened the first time. It wasn't 580 00:33:36,040 --> 00:33:41,240 Speaker 3: commercially viable, and I wonder whether it'll be commercially viable again. 581 00:33:41,520 --> 00:33:46,320 Speaker 3: So it's very interesting. Nique, such a niche. And Sean, 582 00:33:46,360 --> 00:33:49,080 Speaker 3: I was wondering with your expedier story, will you have 583 00:33:49,160 --> 00:33:52,320 Speaker 3: to book this supersonic craft two months ahead for cheap international? 584 00:33:52,400 --> 00:33:54,200 Speaker 2: Excellent question, Thursday. 585 00:33:54,600 --> 00:33:57,920 Speaker 3: That's probably the only way I ever look at the race. 586 00:34:00,120 --> 00:34:04,200 Speaker 3: So Michael, happy birthday. You win favorite story of the week. 587 00:34:06,080 --> 00:34:08,480 Speaker 1: Not not related in any way to the birthday though, right. 588 00:34:08,800 --> 00:34:11,680 Speaker 2: No, no, no, no, no. 589 00:34:11,000 --> 00:34:14,120 Speaker 3: To all Remarkably it's too all. 590 00:34:14,320 --> 00:34:18,520 Speaker 1: That was a better story though, That was sure? Yeah 591 00:34:19,239 --> 00:34:22,600 Speaker 1: like that anyway, you better story. What was the scores? 592 00:34:22,800 --> 00:34:24,719 Speaker 2: Actually some of those other ones you didn't deserve half 593 00:34:24,719 --> 00:34:27,120 Speaker 2: a point on, but I still got. 594 00:34:27,280 --> 00:34:30,560 Speaker 3: Also, happy birthday. I draw ninety one point. 595 00:34:31,800 --> 00:34:34,719 Speaker 2: See I reckon. That's a win for you. 596 00:34:36,080 --> 00:34:38,080 Speaker 3: It felt like it was a win for Michael. 597 00:34:40,000 --> 00:34:42,200 Speaker 1: All right, there we go. We are done, and you 598 00:34:42,239 --> 00:34:43,719 Speaker 1: know what, I'm happy with the draw. That's a good 599 00:34:43,760 --> 00:34:46,840 Speaker 1: result for me. Thank you very much, Adam, Thank you Michael, 600 00:34:46,840 --> 00:34:47,640 Speaker 1: and thank you Seure. 601 00:34:47,680 --> 00:34:49,600 Speaker 2: Thanks Sean, Thanks Adam, thanks Michael. 602 00:34:50,239 --> 00:34:52,200 Speaker 1: Make sure you following the podcast and please join us 603 00:34:52,200 --> 00:34:56,160 Speaker 1: online on LinkedIn, Instagram, TikTok, Facebook and x oh Michael Thompson. 604 00:34:56,200 --> 00:34:58,280 Speaker 1: And that was fear and greed. Have a great weekend.