1 00:00:03,840 --> 00:00:06,960 Speaker 1: It's Thursday, the twenty sixth of September twenty twenty four. 2 00:00:07,160 --> 00:00:09,799 Speaker 1: Welcome to the Fast five Business News by Fear and Greed, 3 00:00:09,840 --> 00:00:11,760 Speaker 1: where we give you the top five business stories you 4 00:00:11,800 --> 00:00:14,240 Speaker 1: need to know when just five minutes. I'm Michael Thompson 5 00:00:14,320 --> 00:00:15,840 Speaker 1: and good morning Adam Lang. 6 00:00:16,200 --> 00:00:17,680 Speaker 2: Good morning, Michael, Adam. 7 00:00:17,800 --> 00:00:20,280 Speaker 1: Five big stories to race through in five minutes, so 8 00:00:20,320 --> 00:00:23,920 Speaker 1: we better get going. Story Number one. Inflation was up 9 00:00:24,000 --> 00:00:26,560 Speaker 1: two point seven percent in the twelve months to August, 10 00:00:26,600 --> 00:00:29,600 Speaker 1: with new data showing us that on a headline basis, 11 00:00:29,600 --> 00:00:32,320 Speaker 1: we are back in the Reserve banks inflation target band 12 00:00:32,320 --> 00:00:35,839 Speaker 1: of two to three percent, but it doesn't look like 13 00:00:35,920 --> 00:00:39,040 Speaker 1: the RBA is going to cut rates anytime soon. 14 00:00:39,920 --> 00:00:42,120 Speaker 2: That's right, Michael. It's a really interesting set of figures 15 00:00:42,159 --> 00:00:44,479 Speaker 2: this month because the big downward factor on the headline 16 00:00:44,520 --> 00:00:47,400 Speaker 2: number was, of course, the state and federal government's big 17 00:00:47,520 --> 00:00:50,760 Speaker 2: energy subsidies that mean we're paying less for our electricity, 18 00:00:51,040 --> 00:00:53,560 Speaker 2: and that was largely as expected. As you mentioned, Michael, 19 00:00:53,600 --> 00:00:56,840 Speaker 2: because these are temporary measures, the Reserve Bank intends to 20 00:00:56,880 --> 00:00:59,840 Speaker 2: look right through them. They're more interested in the underlying 21 00:00:59,840 --> 00:01:03,600 Speaker 2: inflation figures, which strip out temporary and volatile items to 22 00:01:03,720 --> 00:01:07,000 Speaker 2: better understand how inflation is tracking, and on this basis 23 00:01:07,080 --> 00:01:09,720 Speaker 2: there has been a bit of progress. The consumer price 24 00:01:09,720 --> 00:01:11,920 Speaker 2: index was up three point four percent in the twelve 25 00:01:11,959 --> 00:01:14,120 Speaker 2: months to August. That was down from three point eight 26 00:01:14,200 --> 00:01:17,559 Speaker 2: the month before. Petrol has come down to cyclical lows 27 00:01:17,600 --> 00:01:20,640 Speaker 2: and that is helping. There's still little expectation for the 28 00:01:20,680 --> 00:01:23,240 Speaker 2: Reserve Bank to cut race when it meets next in November, 29 00:01:23,600 --> 00:01:25,720 Speaker 2: as this is still too high for its two to 30 00:01:25,800 --> 00:01:29,479 Speaker 2: three percent comfort level. However, it's the best result we've 31 00:01:29,480 --> 00:01:31,480 Speaker 2: seen in two and a half years, and that is 32 00:01:31,520 --> 00:01:32,080 Speaker 2: good news. 33 00:01:32,440 --> 00:01:34,680 Speaker 1: It is it seems like progress, Adam. How did the 34 00:01:34,720 --> 00:01:36,160 Speaker 1: government react to the numbers? 35 00:01:36,560 --> 00:01:40,039 Speaker 2: Michael Federal Treasurer Jim Chalmers described the drop as welcome 36 00:01:40,120 --> 00:01:43,319 Speaker 2: and encouraging and said that it proves the government's policies 37 00:01:43,360 --> 00:01:46,400 Speaker 2: are helping the fight against inflation. Still, theoy want to 38 00:01:46,400 --> 00:01:49,600 Speaker 2: see it moderate further and faster in quarterly terms. This 39 00:01:49,720 --> 00:01:52,600 Speaker 2: is very important because the monthly figures are more volatile 40 00:01:52,640 --> 00:01:53,680 Speaker 2: than the quarterly data. 41 00:01:54,400 --> 00:01:58,120 Speaker 1: Adam's story Number two. Federal officials have started work on 42 00:01:58,240 --> 00:02:03,280 Speaker 1: options to scale back negative gearing and capital gains tax concessions, 43 00:02:03,800 --> 00:02:06,680 Speaker 1: and have started work on a major new housing policy 44 00:02:06,840 --> 00:02:08,200 Speaker 1: ahead of the next federal election. 45 00:02:08,720 --> 00:02:12,080 Speaker 2: Yeah, Michael. The Albanese government refused to confirm reports in 46 00:02:12,120 --> 00:02:15,880 Speaker 2: the Nine newspapers that it directly asked Treasury for expert 47 00:02:15,960 --> 00:02:19,679 Speaker 2: advice on the possible changes after years of disputes over 48 00:02:19,760 --> 00:02:23,560 Speaker 2: billions of dollars in annual tax benefits. However, it did 49 00:02:23,639 --> 00:02:27,080 Speaker 2: confirm that the department was undertaking some work on these issues. 50 00:02:27,440 --> 00:02:30,280 Speaker 2: It's likely to become a major political issue, with the 51 00:02:30,280 --> 00:02:34,680 Speaker 2: Coalition warning against any changes and the Greens demanding an 52 00:02:34,760 --> 00:02:38,000 Speaker 2: end to many tax breaks. Earlier this year, Federal Treasurer 53 00:02:38,120 --> 00:02:41,679 Speaker 2: Jim Chalmers flagged a public conversation about two hundred and 54 00:02:41,720 --> 00:02:45,440 Speaker 2: fifty billion of annual tax concessions, and analysts have estimated 55 00:02:45,440 --> 00:02:48,960 Speaker 2: that overhauling Australia's capital gains tax system could improve the 56 00:02:49,000 --> 00:02:54,680 Speaker 2: budget by five billion dollars annually. But it is political dynamite. 57 00:02:54,240 --> 00:02:57,440 Speaker 1: Yeah, it certainly is. Story number three is linked really 58 00:02:57,480 --> 00:02:59,640 Speaker 1: to story number two. It is still on the topic 59 00:02:59,639 --> 00:03:02,680 Speaker 1: of Jim Chalmers. The Treasurer is heading to China today 60 00:03:02,720 --> 00:03:05,600 Speaker 1: for a series of high stakes meetings with key counterparts 61 00:03:05,880 --> 00:03:08,680 Speaker 1: at Australia's major trading partner in a two day blitz. 62 00:03:09,080 --> 00:03:11,680 Speaker 2: It's the first time an Australian Treasurer has been to 63 00:03:11,760 --> 00:03:14,639 Speaker 2: China in seven years, and it's at a time when 64 00:03:14,680 --> 00:03:18,440 Speaker 2: the Chinese economy is sputtering and there's market concerns about 65 00:03:18,440 --> 00:03:22,000 Speaker 2: the effect on other economies, including our own. Chalmers said 66 00:03:22,000 --> 00:03:24,160 Speaker 2: at a press conference yesterday that the meetings would be 67 00:03:24,240 --> 00:03:28,440 Speaker 2: an important step towards stabilizing the relationship and re establishing 68 00:03:28,520 --> 00:03:29,680 Speaker 2: dialogues with Beijing. 69 00:03:30,480 --> 00:03:33,600 Speaker 1: Onto story number four now Adam, the nation's top research 70 00:03:33,680 --> 00:03:37,800 Speaker 1: universities and private and vocational providers have been hit hardest 71 00:03:37,920 --> 00:03:41,320 Speaker 1: by Labour's pushed to cut international student numbers, while some 72 00:03:41,400 --> 00:03:44,320 Speaker 1: regional institutions have had their allocations increased. 73 00:03:44,760 --> 00:03:48,200 Speaker 2: This is big business, Michael. Vocational education and training providers 74 00:03:48,240 --> 00:03:51,200 Speaker 2: will have their numbers cut by thirty two percent as 75 00:03:51,240 --> 00:03:54,400 Speaker 2: part of the federal government's efforts to limit international student 76 00:03:54,480 --> 00:03:58,480 Speaker 2: numbers to two hundred and seventy thousand next year. Data 77 00:03:58,560 --> 00:04:02,640 Speaker 2: tabled in the Senate that private universities and non university 78 00:04:02,720 --> 00:04:05,880 Speaker 2: higher education providers will have their numbers cut by twenty 79 00:04:05,960 --> 00:04:09,120 Speaker 2: six percent overall compared with this year. The group of 80 00:04:09,160 --> 00:04:13,080 Speaker 2: eight universities will have their allocations cut to fifty seven thousand, 81 00:04:13,360 --> 00:04:16,360 Speaker 2: nine hundred and fifty students, or by twenty eight percent, 82 00:04:16,400 --> 00:04:18,800 Speaker 2: and that's according to a report in The Australian. The 83 00:04:18,920 --> 00:04:22,719 Speaker 2: data also demonstrated the government's efforts to boost international student 84 00:04:22,800 --> 00:04:27,159 Speaker 2: enrollments outside major cities to free up housing supply, with 85 00:04:27,320 --> 00:04:32,440 Speaker 2: Regional Universities Network allocated seventy six percent more places than 86 00:04:32,480 --> 00:04:33,800 Speaker 2: this year last one. 87 00:04:33,960 --> 00:04:37,280 Speaker 1: Adams story number five. The new British Prime Minister, Sir 88 00:04:37,360 --> 00:04:39,960 Speaker 1: Kia Starmer. He has only been in the job for 89 00:04:39,960 --> 00:04:41,599 Speaker 1: a couple of months. He was only appointed on the 90 00:04:41,600 --> 00:04:44,599 Speaker 1: fifth of July twenty twenty four after the election win, 91 00:04:45,160 --> 00:04:48,279 Speaker 1: but he's already earning a reputation for gaffes, with a 92 00:04:48,320 --> 00:04:53,200 Speaker 1: particularly unfortunate one yesterday where he referred to Israeli hostages 93 00:04:53,279 --> 00:04:54,120 Speaker 1: as sausages. 94 00:04:54,920 --> 00:04:58,120 Speaker 2: Yes Michael, in a speech to Labour's annual party conference, 95 00:04:58,400 --> 00:05:01,240 Speaker 2: Sakia misread his script which called for the return of 96 00:05:01,279 --> 00:05:04,280 Speaker 2: Israeli hostages. He said, and I quote, I call again 97 00:05:04,400 --> 00:05:07,839 Speaker 2: for an immediate ceasefire in Gaza, the return of the sausages, 98 00:05:08,480 --> 00:05:11,400 Speaker 2: the hostages, and a recommitment to the two state solution 99 00:05:11,640 --> 00:05:14,200 Speaker 2: end of quote. The honeymoon for Sakia was short, and 100 00:05:14,240 --> 00:05:16,400 Speaker 2: in recent weeks he and his ministers have tried to 101 00:05:16,480 --> 00:05:20,960 Speaker 2: fend off repeated questions about lavish gifts and hospitality he's 102 00:05:21,000 --> 00:05:24,600 Speaker 2: accepted in the past year, including football freebies and money 103 00:05:24,640 --> 00:05:27,000 Speaker 2: to smarten up his wardrobe and that of his wife. 104 00:05:27,360 --> 00:05:31,120 Speaker 2: Although Labour still polls ahead of the Conservative Party, Sakia's 105 00:05:31,160 --> 00:05:35,680 Speaker 2: personal popularity has dived forty five points since July. In 106 00:05:35,720 --> 00:05:38,560 Speaker 2: an opinion poll released on Sunday, he scored a net 107 00:05:38,640 --> 00:05:41,560 Speaker 2: approval rating of minus twenty six percent. 108 00:05:42,040 --> 00:05:44,160 Speaker 1: Yeah, that is pretty tough. All right, there we go 109 00:05:44,279 --> 00:05:46,039 Speaker 1: the top five business stories in five minutes. 110 00:05:46,080 --> 00:05:47,720 Speaker 2: Thank you Adam, Thank you Michael. 111 00:05:47,800 --> 00:05:51,080 Speaker 1: It is Thursday, the twenty sixth of September twenty twenty four. 112 00:05:51,360 --> 00:05:53,800 Speaker 1: Remember to hit follow on the podcast, and if five 113 00:05:53,800 --> 00:05:56,239 Speaker 1: minutes isn't enough, you can find our longer daily show 114 00:05:56,279 --> 00:05:59,080 Speaker 1: called Fear and Greed where ever you listen to podcasts. 115 00:05:59,120 --> 00:06:02,600 Speaker 1: And today there's also a new episode of our podcast, 116 00:06:02,760 --> 00:06:05,960 Speaker 1: The Property Pendulum, brought to you by Fear and Greed 117 00:06:06,120 --> 00:06:09,080 Speaker 1: and Domain. It is the podcast that tells you which 118 00:06:09,080 --> 00:06:11,120 Speaker 1: way the property market is swinging and how to make 119 00:06:11,160 --> 00:06:14,240 Speaker 1: the most of it. This week's episode all about auctions, 120 00:06:14,320 --> 00:06:17,360 Speaker 1: How to bid at auction, where to stand, how much 121 00:06:17,360 --> 00:06:20,279 Speaker 1: you should be bidding, per increment, and what to do 122 00:06:20,400 --> 00:06:23,920 Speaker 1: if the property passes in We answer every imaginable question 123 00:06:23,960 --> 00:06:25,960 Speaker 1: about bidding a auction. Do not miss it. I'll put 124 00:06:25,960 --> 00:06:28,360 Speaker 1: a link in today's show notes. I'm Michael Thompson and 125 00:06:28,400 --> 00:06:30,640 Speaker 1: that was the fast fire business news by fear and greed. 126 00:06:30,920 --> 00:06:33,760 Speaker 1: Have a great day.