1 00:00:06,320 --> 00:00:09,200 Speaker 1: Bond market priced in a forty percent chance of an 2 00:00:09,240 --> 00:00:13,119 Speaker 1: interest rate hike in August. Katark considers buying a stake 3 00:00:13,280 --> 00:00:15,960 Speaker 1: in Virgin Australia and the case of the two NASA 4 00:00:16,040 --> 00:00:19,800 Speaker 1: astronauts stuck on the International Space Station. Welcome to Fear 5 00:00:19,840 --> 00:00:22,080 Speaker 1: and Greed. Daily business news for people who make their 6 00:00:22,079 --> 00:00:25,440 Speaker 1: own decisions. It is Friday, the twenty eighth of June 7 00:00:25,440 --> 00:00:29,000 Speaker 1: twenty twenty four. I'm Michael Thompson and good morning, Sean Aylmer. 8 00:00:29,400 --> 00:00:31,000 Speaker 2: Good morning, Michael, Seawan. 9 00:00:31,040 --> 00:00:33,559 Speaker 1: The main story this morning, bond markets have priced in 10 00:00:33,600 --> 00:00:36,520 Speaker 1: a forty percent chance of a rate hike in August, 11 00:00:36,760 --> 00:00:41,560 Speaker 1: as the fallout from Wednesday's hot inflation figures hits markets 12 00:00:41,600 --> 00:00:42,280 Speaker 1: and sentiment. 13 00:00:42,960 --> 00:00:45,160 Speaker 2: Yes, Inflation for the twelve months the end of May 14 00:00:45,240 --> 00:00:48,240 Speaker 2: came in at four percent underlying inflation, which the Reserve 15 00:00:48,280 --> 00:00:50,879 Speaker 2: Bank prefers with four point four percent. A bunch of 16 00:00:50,880 --> 00:00:53,519 Speaker 2: market economists now expect the next move in rates to 17 00:00:53,520 --> 00:00:56,920 Speaker 2: not occur until towards the middle of next year. They're 18 00:00:56,960 --> 00:01:00,560 Speaker 2: still saying down, but they've pushed out. National Australia, for example, 19 00:01:00,560 --> 00:01:04,040 Speaker 2: has changed its forecast to May next year. Bond markets 20 00:01:04,120 --> 00:01:06,920 Speaker 2: sold off yesterday with ten year bonds hitting four point 21 00:01:07,000 --> 00:01:09,960 Speaker 2: four percent, markets have now priced in a better than 22 00:01:10,000 --> 00:01:13,360 Speaker 2: one in three chance of a rate hike, yes, hike 23 00:01:13,920 --> 00:01:18,160 Speaker 2: in August. Bond markets are far more nimble. Perhaps flight 24 00:01:18,200 --> 00:01:20,480 Speaker 2: he might be a better word than market economists, and 25 00:01:20,520 --> 00:01:23,720 Speaker 2: that kind of explains some of the discrepancies in forecasts. 26 00:01:24,040 --> 00:01:28,240 Speaker 2: The market economists tend to look further ahead, bond traders 27 00:01:28,640 --> 00:01:31,360 Speaker 2: think about it in the moment. Doesn't they mean that 28 00:01:31,400 --> 00:01:35,559 Speaker 2: the bond markets are necessarily wrong? Judo Bank economist Warren Hogan, 29 00:01:35,560 --> 00:01:37,760 Speaker 2: who was formerly chief economist today and Z, expects a 30 00:01:37,840 --> 00:01:40,360 Speaker 2: rate rise in August. The smoking in much of this 31 00:01:40,600 --> 00:01:43,840 Speaker 2: is what will people do with their July one tax cuts? 32 00:01:44,000 --> 00:01:46,640 Speaker 2: The average full time worker in Australia earns one hundred 33 00:01:46,640 --> 00:01:49,840 Speaker 2: and one six hundred dollars and their monthly take home 34 00:01:50,160 --> 00:01:52,680 Speaker 2: pay will increase by one hundred and eighty five dollars 35 00:01:52,720 --> 00:01:56,279 Speaker 2: in July one when the revamped Stage three tax cuts 36 00:01:56,320 --> 00:01:59,000 Speaker 2: come into force. If the majority of people go out 37 00:01:59,000 --> 00:02:00,880 Speaker 2: and spend the money rather than putting it into their 38 00:02:00,880 --> 00:02:03,360 Speaker 2: mortgages or saving it in some other way, and the 39 00:02:03,480 --> 00:02:07,760 Speaker 2: chance of a rate hike increases, maybe two rate hikes. 40 00:02:08,120 --> 00:02:11,240 Speaker 2: As a comparison, A twenty five basis point increase in 41 00:02:11,280 --> 00:02:14,440 Speaker 2: mortgage rates would add eighty two dollars to monthly loan 42 00:02:14,480 --> 00:02:17,080 Speaker 2: repayments per month. That's on a half million dollar loam, 43 00:02:17,480 --> 00:02:20,440 Speaker 2: so a couple of those would quickly eat up those 44 00:02:20,600 --> 00:02:24,280 Speaker 2: tax increases if people are actually spending their money rather 45 00:02:24,320 --> 00:02:25,160 Speaker 2: than saving it. 46 00:02:25,760 --> 00:02:30,080 Speaker 1: And saw on. The interest rate debate also has political implications, 47 00:02:30,080 --> 00:02:32,919 Speaker 1: doesn't it. With the Opposition hammering the government in question 48 00:02:33,000 --> 00:02:35,360 Speaker 1: time yesterday about the cost of living and of course 49 00:02:35,400 --> 00:02:36,440 Speaker 1: about rising inflation. 50 00:02:36,919 --> 00:02:39,600 Speaker 2: Yes, it's a gift for the opposition, and yesterday Opposition 51 00:02:39,680 --> 00:02:43,720 Speaker 2: leader Peter Dutton open question time by asking why Australians 52 00:02:43,760 --> 00:02:45,919 Speaker 2: have to live in fear of another interest rate rise, 53 00:02:46,400 --> 00:02:49,040 Speaker 2: leaving the details of what's right and wrong aside for 54 00:02:49,080 --> 00:02:52,280 Speaker 2: the moment. It is a very effective political attack on 55 00:02:52,320 --> 00:02:54,480 Speaker 2: the government and of course there needs to be an 56 00:02:54,480 --> 00:02:58,200 Speaker 2: election within the next twelve months. The further interest rate 57 00:02:58,840 --> 00:03:02,280 Speaker 2: cuts a push out, the worse it is for the government. 58 00:03:02,480 --> 00:03:05,160 Speaker 2: Treasure Jim Chalmers said inflation is still higher than the 59 00:03:05,160 --> 00:03:08,520 Speaker 2: government would like, but he also spooked Labour's economic credentials 60 00:03:08,520 --> 00:03:10,480 Speaker 2: compared to the previous coalition government. 61 00:03:11,639 --> 00:03:14,120 Speaker 1: Sean A quick question from a listener yesterday we shared 62 00:03:14,160 --> 00:03:17,280 Speaker 1: a great question from a listener, another one today from 63 00:03:17,280 --> 00:03:20,079 Speaker 1: someone else, Lockey who was listening and wrote to us 64 00:03:21,200 --> 00:03:22,840 Speaker 1: via Facebook, and he. 65 00:03:22,840 --> 00:03:25,840 Speaker 2: Says, hold on, hold on, do I have to answer this? 66 00:03:26,200 --> 00:03:28,000 Speaker 1: You do. I'm sorry I should have told you this. 67 00:03:28,320 --> 00:03:30,520 Speaker 1: You have to answer this question. And if you don't 68 00:03:30,560 --> 00:03:33,480 Speaker 1: answer it, I will be disappointed. And you do not 69 00:03:33,520 --> 00:03:36,560 Speaker 1: want to disappoint Lockey either, our listener. Because Lockie says 70 00:03:38,000 --> 00:03:41,000 Speaker 1: a question for well, he doesn't say for Sean, but 71 00:03:41,040 --> 00:03:43,760 Speaker 1: it is for Sean. Is it just me or an 72 00:03:43,840 --> 00:03:46,880 Speaker 1: interest rate hikes null and void For the portion of 73 00:03:46,920 --> 00:03:49,480 Speaker 1: the population that holds most of our cash, the boomers, 74 00:03:49,920 --> 00:03:52,920 Speaker 1: given they don't have mortgages and have a war chest 75 00:03:52,960 --> 00:03:56,880 Speaker 1: of funds, do interest rate hikes discourage them from spending? 76 00:03:57,680 --> 00:04:01,800 Speaker 2: What a cracking question and is right? I mean, I'm 77 00:04:01,840 --> 00:04:04,080 Speaker 2: not sure that quite the numbers whether the baby boomers 78 00:04:04,120 --> 00:04:06,400 Speaker 2: hold the majority of cash, because the Baby boom is 79 00:04:06,960 --> 00:04:09,720 Speaker 2: only kind of I mean, they're probably the wealthiest cohort, 80 00:04:10,160 --> 00:04:12,880 Speaker 2: but they're only probably twenty percent of the population or 81 00:04:12,880 --> 00:04:17,640 Speaker 2: something rather, but his point is exactly that monetary policy, 82 00:04:18,200 --> 00:04:22,400 Speaker 2: interest rate policy is a very blunt instrument and it 83 00:04:22,480 --> 00:04:25,360 Speaker 2: hurts people. It hits people hard, but not everyone equally. 84 00:04:25,720 --> 00:04:28,360 Speaker 2: And Lockeye's point. So if you've paid off your home 85 00:04:28,440 --> 00:04:30,520 Speaker 2: line and maybe you've actually got savings and so you 86 00:04:30,680 --> 00:04:33,880 Speaker 2: like high deposit rates, higher registrates are great. You absolutely 87 00:04:33,960 --> 00:04:37,640 Speaker 2: love that. If you're a new family, you've got your 88 00:04:37,680 --> 00:04:41,799 Speaker 2: first mortgage. They're the ones that were hit really, really hard. 89 00:04:42,120 --> 00:04:45,119 Speaker 2: What about people who you know have lower paid jobs, 90 00:04:45,160 --> 00:04:48,799 Speaker 2: they have a mortgage or rent? Interest rates hit them hard. 91 00:04:49,000 --> 00:04:52,000 Speaker 2: It's not fair. It is definitely not fair, but it 92 00:04:52,080 --> 00:04:53,560 Speaker 2: is the way the policy works. 93 00:04:54,160 --> 00:04:57,000 Speaker 1: How about the relief in your voice that Locke's question 94 00:04:57,080 --> 00:04:59,440 Speaker 1: is one that you could answer on the fly. So true, 95 00:04:59,560 --> 00:05:02,400 Speaker 1: so true, just the year panic when I started to 96 00:05:02,440 --> 00:05:05,160 Speaker 1: ask you the question without notice. Look, it's also worth 97 00:05:05,200 --> 00:05:08,680 Speaker 1: mentioning here and Lockie would certainly enjoy this one. Thank 98 00:05:08,720 --> 00:05:10,080 Speaker 1: you Locke, by the way, I for his sending in 99 00:05:10,080 --> 00:05:11,800 Speaker 1: your question. And if you do have a question, just 100 00:05:11,920 --> 00:05:14,480 Speaker 1: feel free to shoot it through viaur, Instagram or Facebook 101 00:05:14,560 --> 00:05:16,960 Speaker 1: or LinkedIn or any of the places where you'll find 102 00:05:17,160 --> 00:05:18,919 Speaker 1: fear and greed. I love to receive them and I 103 00:05:18,960 --> 00:05:21,920 Speaker 1: love to surprise Sean with them. But stick around after 104 00:05:21,960 --> 00:05:25,200 Speaker 1: the show because you're actually speaking today with Warren Hogan, 105 00:05:25,200 --> 00:05:28,320 Speaker 1: who is the Managing director of ECU Economics, economic advisor 106 00:05:28,800 --> 00:05:31,359 Speaker 1: at Judo Bank and previously the chief economist at A 107 00:05:31,440 --> 00:05:34,600 Speaker 1: and Z. Very very well credentialed, and he lays out 108 00:05:34,720 --> 00:05:37,520 Speaker 1: the situation in terms of interest rates and what the 109 00:05:37,560 --> 00:05:39,880 Speaker 1: Reserve Bank has to do, I reckon better than anyone 110 00:05:39,920 --> 00:05:41,360 Speaker 1: I've heard do it previously. 111 00:05:41,960 --> 00:05:45,240 Speaker 2: Yes, he is a great communicator. What he does is 112 00:05:45,400 --> 00:05:49,920 Speaker 2: outline the argument why the Reserve Bank will seriously consider 113 00:05:50,240 --> 00:05:54,720 Speaker 2: lifting interest rates in August. And as you say, he 114 00:05:54,839 --> 00:05:57,679 Speaker 2: just does it incredibly well and goes through the different 115 00:05:57,720 --> 00:06:00,279 Speaker 2: paths of the economy and why the Reserve Bank most 116 00:06:00,279 --> 00:06:04,000 Speaker 2: has to lift interest rates in August. So a business person, 117 00:06:04,120 --> 00:06:07,200 Speaker 2: an economists, an investor, you need to listen to this interview. 118 00:06:07,440 --> 00:06:12,080 Speaker 2: It's a really fine chad that I think, probably as 119 00:06:12,120 --> 00:06:15,719 Speaker 2: well as we've done on this show, puts forward the 120 00:06:15,920 --> 00:06:17,760 Speaker 2: argument for a rate hike. 121 00:06:18,320 --> 00:06:21,800 Speaker 1: Yeah. Absolutely, and it's in such clear language that I 122 00:06:21,839 --> 00:06:24,000 Speaker 1: think anyone can understand. So if you want a better 123 00:06:24,120 --> 00:06:27,080 Speaker 1: understanding of how it all works, I encourage you to 124 00:06:27,120 --> 00:06:29,360 Speaker 1: give this one a crack. Sean on with the rest 125 00:06:29,360 --> 00:06:32,200 Speaker 1: of the show, Local Markets, how do they perform? Yesterday? 126 00:06:32,279 --> 00:06:34,440 Speaker 2: S and PA six two hundred tumble more than one 127 00:06:34,480 --> 00:06:37,400 Speaker 2: percent in early training, only to clamber its way back, 128 00:06:37,400 --> 00:06:40,440 Speaker 2: closing the session zero point three percent lower at seven 129 00:06:40,880 --> 00:06:44,920 Speaker 2: seven hundred and sixty points. Interest rate sensitive sectors for most, 130 00:06:45,320 --> 00:06:48,440 Speaker 2: and specifically the reats the real estate investment trusts, that 131 00:06:48,480 --> 00:06:51,320 Speaker 2: index was down more than two percent. Tech stocks did 132 00:06:51,360 --> 00:06:53,799 Speaker 2: it best among the large caps. It wasn't a huge 133 00:06:53,800 --> 00:06:56,920 Speaker 2: amount of movement. While Transurban closed down nearly three percent, 134 00:06:57,240 --> 00:06:59,520 Speaker 2: Wistik finished up two and a half percent, but most 135 00:06:59,560 --> 00:07:02,200 Speaker 2: of the other twenty stocks ended not too far away 136 00:07:02,200 --> 00:07:04,800 Speaker 2: from where they started the day. In corporate news, TV 137 00:07:05,000 --> 00:07:08,400 Speaker 2: and radio broadcasters, Southern Cross Media has rejected an offer 138 00:07:08,720 --> 00:07:13,200 Speaker 2: Whereby would take over Australian Community Media. Japan's Mitsubishi Motors 139 00:07:13,320 --> 00:07:16,600 Speaker 2: has taken a five percent stake in ASEX listed business 140 00:07:16,640 --> 00:07:20,840 Speaker 2: Fleet Partners the Fleet Business. And an update on Goozman 141 00:07:20,920 --> 00:07:23,600 Speaker 2: E Gomez, the fast food group that floated on the 142 00:07:23,600 --> 00:07:26,880 Speaker 2: AX last week. The issue price was twenty two dollars. 143 00:07:26,960 --> 00:07:30,320 Speaker 2: Michael Day won't close at thirty dollars that was its peak, 144 00:07:30,400 --> 00:07:33,120 Speaker 2: though it has mostly stayed above twenty nine dollars a share. 145 00:07:33,320 --> 00:07:36,040 Speaker 2: What's emerged is that there are a number of short 146 00:07:36,120 --> 00:07:40,920 Speaker 2: sellers in Goozman investors betting that whilst trading around twenty 147 00:07:40,960 --> 00:07:43,640 Speaker 2: nine bucks, they're betting that the group's share price will. 148 00:07:43,480 --> 00:07:47,360 Speaker 1: Fall now Sean thanks to blue Chip Communications, the experts 149 00:07:47,400 --> 00:07:51,040 Speaker 1: helping financial services companies market, communicate and grow is a 150 00:07:51,040 --> 00:07:53,360 Speaker 1: blue chip communication dot com TODAYU we need to check 151 00:07:53,400 --> 00:07:54,880 Speaker 1: international markets. What's going on? 152 00:07:55,360 --> 00:07:58,000 Speaker 2: Well, oil prices are flat, but gold slipped. It's back 153 00:07:58,120 --> 00:08:01,560 Speaker 2: under twenty three hundred US dollars. The precious metal hasn't 154 00:08:01,600 --> 00:08:04,760 Speaker 2: been consistently under this level for about ten weeks. A 155 00:08:04,800 --> 00:08:07,400 Speaker 2: bunch of the gold stocks, as a result, have fallen 156 00:08:07,440 --> 00:08:11,480 Speaker 2: off in recent sessions. Uranium prices have fallen sharply to 157 00:08:11,520 --> 00:08:13,880 Speaker 2: their lowest levels this year, triggering a sell off in 158 00:08:13,920 --> 00:08:18,640 Speaker 2: local stocks including Paladin Energy, Boss Energy, and Deep Yellow Copper, 159 00:08:19,040 --> 00:08:22,600 Speaker 2: a Billweather commodity for the economy. Also, the price of 160 00:08:22,600 --> 00:08:26,080 Speaker 2: copper also keeps falling. They're now about fourteen percent below 161 00:08:26,120 --> 00:08:29,720 Speaker 2: the highs reached last month. Bitcoins dropped back somewhat, while 162 00:08:29,720 --> 00:08:32,200 Speaker 2: the Aussie dollar is trading around sixty six point seven 163 00:08:32,520 --> 00:08:35,600 Speaker 2: US since before we leave currency market, the Japanese yen 164 00:08:36,000 --> 00:08:38,880 Speaker 2: has fallen to its lowest level against the US dollar 165 00:08:39,120 --> 00:08:40,720 Speaker 2: since nineteen eighty six. 166 00:08:41,360 --> 00:08:43,480 Speaker 1: Okay, we have a fair bit to get through today, Sean. 167 00:08:43,520 --> 00:08:44,880 Speaker 1: We'll be back in a moment with the rest of 168 00:08:44,880 --> 00:08:54,480 Speaker 1: the day's business news. Sean. Qatar Airways, one of the 169 00:08:54,520 --> 00:08:58,360 Speaker 1: world's largest airline groups, is negotiating to take up to 170 00:08:58,440 --> 00:09:02,000 Speaker 1: a twenty percent stake in Virgin Australia has plans to 171 00:09:02,040 --> 00:09:04,079 Speaker 1: list the number two carrier drag On. 172 00:09:04,520 --> 00:09:08,280 Speaker 2: Qatar is owned by the Katari government and already does 173 00:09:08,320 --> 00:09:11,719 Speaker 2: co sharing with Virgin. According to the Financial Review, negotiations 174 00:09:11,760 --> 00:09:16,160 Speaker 2: between Virgin owner Bain and Qatar Airways are ongoing, and 175 00:09:16,240 --> 00:09:19,360 Speaker 2: they come after Virgin's advisors had considered selling a twenty 176 00:09:19,360 --> 00:09:23,000 Speaker 2: percent stake to Singapore Lines. Any deal with Quitar would 177 00:09:23,200 --> 00:09:26,000 Speaker 2: need the backing of the Foreign Investment Review Board. Qatar's 178 00:09:26,040 --> 00:09:30,840 Speaker 2: relationship with the Albanezi government has been fraught, shall we 179 00:09:30,920 --> 00:09:33,400 Speaker 2: say mixed one of those. 180 00:09:33,920 --> 00:09:34,319 Speaker 1: Yeah. 181 00:09:34,440 --> 00:09:37,120 Speaker 2: The airline's attempt to add more fights to Sydney, Brisbane, 182 00:09:37,120 --> 00:09:39,880 Speaker 2: Melbourne and Perth was blocked by labor last year. The 183 00:09:39,920 --> 00:09:43,120 Speaker 2: government back then gave reasons like they need to protect 184 00:09:43,200 --> 00:09:47,640 Speaker 2: aviation jobs and to help quantus investment in new planes 185 00:09:47,679 --> 00:09:51,680 Speaker 2: deliver good returns. No one really bought that Virgin argued 186 00:09:51,720 --> 00:09:54,559 Speaker 2: that the decision to block additional flights, which was opposed 187 00:09:54,600 --> 00:09:57,760 Speaker 2: by several state governments and tourism groups, only helped protect 188 00:09:57,840 --> 00:10:01,920 Speaker 2: Quantus's market share, particularly on lucrative flights to Europe. Bain 189 00:10:02,040 --> 00:10:05,040 Speaker 2: had hoped to list Virgin on the ASEX this year, 190 00:10:05,400 --> 00:10:07,839 Speaker 2: that is now looking increasingly unlikely. 191 00:10:08,240 --> 00:10:12,000 Speaker 1: Total household wealth in Australia what we all own, has 192 00:10:12,120 --> 00:10:16,240 Speaker 1: pushed beyond sixteen trillion dollars sean, thanks in large part 193 00:10:16,360 --> 00:10:17,800 Speaker 1: to rising house prices. 194 00:10:18,080 --> 00:10:20,520 Speaker 2: Total wealth was up one and a half trillion dollars 195 00:10:20,520 --> 00:10:22,920 Speaker 2: over the last year, with what the Bureau of Statistics 196 00:10:23,120 --> 00:10:27,880 Speaker 2: calls residential land and dwellings contributing about half the rise. 197 00:10:28,080 --> 00:10:30,839 Speaker 2: The other big contributor was rising superannuation assets, and that's 198 00:10:30,880 --> 00:10:33,559 Speaker 2: been helped along by a strong share market. About two 199 00:10:33,600 --> 00:10:36,679 Speaker 2: thirds of household wealth sits in bricks and mortar, and 200 00:10:36,720 --> 00:10:40,520 Speaker 2: that percentage is growing, rising from sixty two percent four 201 00:10:40,600 --> 00:10:44,160 Speaker 2: years ago to about sixty seven percent now. The amount 202 00:10:44,160 --> 00:10:47,000 Speaker 2: of money people put on deposits also rose over the 203 00:10:47,040 --> 00:10:49,560 Speaker 2: past year, though the pace of growth has slowed. It's 204 00:10:49,679 --> 00:10:51,760 Speaker 2: just people are spending more and saving less than they 205 00:10:51,800 --> 00:10:54,560 Speaker 2: were a couple of years ago. Most of our money 206 00:10:54,720 --> 00:10:55,800 Speaker 2: is in the housing sector. 207 00:10:56,280 --> 00:10:58,360 Speaker 1: Now, Sean A sorry. We've talked about for much of 208 00:10:58,400 --> 00:11:01,760 Speaker 1: this week. Juliana Sange back in the country, and perhaps 209 00:11:01,920 --> 00:11:06,560 Speaker 1: not surprisingly, his arrival triggered a political staush in Canberra. 210 00:11:07,080 --> 00:11:09,840 Speaker 2: M Misters Sange's first phone call when he touched down 211 00:11:09,840 --> 00:11:13,040 Speaker 2: on Wednesday night was to Anthony Abernezi. He told the 212 00:11:13,040 --> 00:11:16,280 Speaker 2: Prime Minister that he had saved his life. His return 213 00:11:16,440 --> 00:11:19,920 Speaker 2: followed a deal whereby mister Assange pled guilty to a 214 00:11:19,960 --> 00:11:24,000 Speaker 2: single criminal count of conspiring to obtain and disclose classified 215 00:11:24,360 --> 00:11:28,160 Speaker 2: US national defense documents. Both sides of politics have worked 216 00:11:28,200 --> 00:11:31,160 Speaker 2: to get him back to Australia. He had been in 217 00:11:31,200 --> 00:11:33,600 Speaker 2: a British prison five years and prior to that, the 218 00:11:33,600 --> 00:11:37,600 Speaker 2: Ecuadorian embassy in London for seven years, but yesterday the 219 00:11:37,640 --> 00:11:42,720 Speaker 2: bipartisanship slipped away. Opposition Foreign Affairs spokesperson Simon Birmingham said 220 00:11:42,720 --> 00:11:45,559 Speaker 2: it was inappropriate that the Prime Minister spoke to mister Assange, 221 00:11:45,880 --> 00:11:48,160 Speaker 2: saying while it was good the legal saga is over, 222 00:11:48,760 --> 00:11:51,360 Speaker 2: he shouldn't receive the same homecoming as others who have 223 00:11:51,440 --> 00:11:55,240 Speaker 2: been and I quote truthfully truly wrongfully detained. 224 00:11:56,320 --> 00:11:59,200 Speaker 1: The number of job vacancies has fallen to three hundred 225 00:11:59,200 --> 00:12:02,839 Speaker 1: and fifty three thousand across the country, suggesting that the 226 00:12:02,880 --> 00:12:05,600 Speaker 1: heat is definitely coming out of the labor market. 227 00:12:06,120 --> 00:12:08,640 Speaker 2: Very important this the Bureau Statistics figures show that job 228 00:12:08,720 --> 00:12:12,840 Speaker 2: vacancies peaked two years ago and have been falling ever since, 229 00:12:12,920 --> 00:12:16,480 Speaker 2: though they remain above their pre pandemic levels. This is 230 00:12:16,520 --> 00:12:21,000 Speaker 2: particularly the case in public facing industries such as accommodation 231 00:12:21,080 --> 00:12:24,160 Speaker 2: and food services and arts and recreation services. In fact, 232 00:12:24,200 --> 00:12:26,080 Speaker 2: there are still around one hundred and twenty five thousand 233 00:12:26,080 --> 00:12:30,240 Speaker 2: more vacancies than there were in February twenty twenty. Vacancies, 234 00:12:30,240 --> 00:12:32,599 Speaker 2: of course, are a leading indicator of what's going to 235 00:12:32,640 --> 00:12:35,640 Speaker 2: happen to the labor market and the unemployment rate. Thus 236 00:12:35,679 --> 00:12:39,760 Speaker 2: far this economic cycle, the labor market has, in Reserve 237 00:12:39,800 --> 00:12:43,880 Speaker 2: Bank Governor Michelle Bullock's words, remained tight. It just needs 238 00:12:43,880 --> 00:12:47,680 Speaker 2: to loosen up a bit and fewer job vacancies suggests 239 00:12:48,040 --> 00:12:51,200 Speaker 2: that's exactly what's happening. Over the quarter to the end 240 00:12:51,240 --> 00:12:55,440 Speaker 2: of May, vacancies fell sharply, particularly in wholesale trade and manufacturing. 241 00:12:56,080 --> 00:13:01,079 Speaker 1: Sean Minor Linus will start production of two heavy rare earths, 242 00:13:01,200 --> 00:13:06,360 Speaker 1: dysprosium and terbium from its Malaysian processing plant, breaking China's 243 00:13:06,360 --> 00:13:09,640 Speaker 1: stranglehold of the metals used in modern weapon systems. The 244 00:13:09,800 --> 00:13:12,920 Speaker 1: US and Australian governments are taking a much harder line 245 00:13:12,960 --> 00:13:15,679 Speaker 1: on who owns and produces minerals used in the electrification 246 00:13:15,760 --> 00:13:19,880 Speaker 1: of economies, wanting to reduce reliance on China. Linus is 247 00:13:19,920 --> 00:13:23,160 Speaker 1: basically a beneficiary of that. The heavy rare earths will 248 00:13:23,200 --> 00:13:26,960 Speaker 1: be sourced from the company's Mount World mine in Western Australia, 249 00:13:27,120 --> 00:13:30,000 Speaker 1: along with other rare earths what they call light rare earths. 250 00:13:30,200 --> 00:13:34,840 Speaker 1: Linus is the biggest non Chinese supplier of the minerals. Now, 251 00:13:34,960 --> 00:13:37,800 Speaker 1: as we know, we've discussed this, rare earths aren't particularly rare, 252 00:13:38,320 --> 00:13:41,760 Speaker 1: but they are very difficult to process, and Linus's Malaysian 253 00:13:41,800 --> 00:13:45,280 Speaker 1: facility is a critical part of that whole process. Managing 254 00:13:45,360 --> 00:13:49,200 Speaker 1: director Amande La Caz said Linus was poised to break 255 00:13:49,240 --> 00:13:51,920 Speaker 1: the Chinese monopoly on heavy rare earths unless than the 256 00:13:51,960 --> 00:13:54,439 Speaker 1: threat posed if Beijing opted to cut off supply to 257 00:13:54,480 --> 00:13:58,120 Speaker 1: the US and its allies. Sean TESLA chairwoman Robin dan 258 00:13:58,200 --> 00:14:01,760 Speaker 1: Holm and National Basketball League owner Larry Kesselman have bought 259 00:14:01,840 --> 00:14:05,400 Speaker 1: a majority share in the Australian Women's Basketball League. 260 00:14:05,160 --> 00:14:07,640 Speaker 2: Quite the investment. The pair have agreed to spend millions 261 00:14:07,679 --> 00:14:11,800 Speaker 2: of dollars in the Women's National Basketball League, currently owned 262 00:14:11,800 --> 00:14:15,360 Speaker 2: by Basketball Australia, in exchange for a controlling state that 263 00:14:15,400 --> 00:14:18,480 Speaker 2: will allow them to reposition and grow the game. Miss 264 00:14:18,480 --> 00:14:22,440 Speaker 2: Denholmes's interests as in the company that she's running this through, 265 00:14:22,480 --> 00:14:25,400 Speaker 2: will take a forty nine percent share in mister Kesselman's 266 00:14:25,520 --> 00:14:28,520 Speaker 2: NBL will take a twenty nine percent state. Mister Kesselman 267 00:14:28,600 --> 00:14:32,160 Speaker 2: bought fifty one percent of the NBL the National Basketball 268 00:14:32,200 --> 00:14:35,280 Speaker 2: League the men's league in twenty fifteen for seven million dollars. 269 00:14:35,360 --> 00:14:38,000 Speaker 2: He now owns ninety four percent of it. Media reports 270 00:14:38,000 --> 00:14:41,360 Speaker 2: suggests the total value of the women's league is around 271 00:14:41,440 --> 00:14:45,200 Speaker 2: twenty five million dollars. Miss Denholme is already part owner 272 00:14:45,240 --> 00:14:49,840 Speaker 2: of the Sydney Kings and Sydney Flames. Is it ironic 273 00:14:49,880 --> 00:14:53,080 Speaker 2: that the head of basketball is only five foot one, 274 00:14:53,360 --> 00:14:55,280 Speaker 2: one hundred and fifty five centimeters. 275 00:14:56,760 --> 00:15:02,280 Speaker 1: I honestly don't know. I'm sure well, it's probably unlikely 276 00:15:02,320 --> 00:15:04,280 Speaker 1: that she would be able to play, right. 277 00:15:04,360 --> 00:15:06,280 Speaker 2: She may have been a player in her time that 278 00:15:06,320 --> 00:15:07,600 Speaker 2: obviously she loves the sport. 279 00:15:07,840 --> 00:15:11,640 Speaker 1: Absolutely, yeah, but I'm sure there's also plenty of kind 280 00:15:11,680 --> 00:15:15,480 Speaker 1: of weedy people like myself that would probably kind of 281 00:15:15,600 --> 00:15:18,160 Speaker 1: own like rugby league teams. 282 00:15:19,000 --> 00:15:21,480 Speaker 2: Yes, yes, yes, yes, I think that is that's a 283 00:15:21,560 --> 00:15:22,160 Speaker 2: very fair point. 284 00:15:22,320 --> 00:15:24,600 Speaker 1: Or you look at like old mate who owns the 285 00:15:25,680 --> 00:15:30,960 Speaker 1: Dallas Cowboys, right, yes, who's like isn't he like eighty 286 00:15:31,480 --> 00:15:33,960 Speaker 1: ninety years old or something? He's hardly going to get 287 00:15:33,960 --> 00:15:35,800 Speaker 1: out there and play, is he Jerry Jones? 288 00:15:35,960 --> 00:15:38,160 Speaker 2: There you go, Google Jerry Jones? That's his name? 289 00:15:38,200 --> 00:15:40,960 Speaker 1: How old is he? Eighty one? Eighty one? Thank you Google? 290 00:15:42,280 --> 00:15:45,040 Speaker 1: Back on track. International news time now, Sean, and a 291 00:15:45,240 --> 00:15:50,000 Speaker 1: very very very exciting day. This is for anyone who 292 00:15:50,040 --> 00:15:54,000 Speaker 1: is interested in US politics because at eleven am Eastern 293 00:15:54,040 --> 00:15:58,960 Speaker 1: Standard time, presidential hopeful Donald Trump will swear off against 294 00:15:59,000 --> 00:16:02,920 Speaker 1: incumbent Joe By and what many think is the most 295 00:16:03,040 --> 00:16:08,040 Speaker 1: consequential presidential debate for many, many years. 296 00:16:08,600 --> 00:16:12,680 Speaker 2: While both have their rusted on supporters, many US voters 297 00:16:12,720 --> 00:16:16,440 Speaker 2: seem to like neither. So this morning is an opportunity 298 00:16:16,440 --> 00:16:19,400 Speaker 2: for mister Biden and mister Trump to sway electors, or 299 00:16:19,440 --> 00:16:22,800 Speaker 2: at least not push them away. Pole suggests tens of 300 00:16:22,800 --> 00:16:25,040 Speaker 2: millions of Americans will watch the debate, to be held 301 00:16:25,120 --> 00:16:29,120 Speaker 2: in CNN's studios in Atlanta. There's no third candidate, even 302 00:16:29,120 --> 00:16:32,760 Speaker 2: though John F. Kennedy Junior is running for president, but 303 00:16:32,920 --> 00:16:36,000 Speaker 2: he didn't quite meet the criteria for this debate. The 304 00:16:36,080 --> 00:16:38,560 Speaker 2: economy and the cost of living crisis, the conflict in 305 00:16:38,600 --> 00:16:41,360 Speaker 2: the Middle East, border security and immigration, abortion rights, and 306 00:16:41,400 --> 00:16:43,720 Speaker 2: the age and health of both men are all likely 307 00:16:43,760 --> 00:16:44,480 Speaker 2: to get a good run. 308 00:16:44,560 --> 00:16:45,240 Speaker 1: A few rules. 309 00:16:45,280 --> 00:16:50,080 Speaker 2: Michael Joe Biden actually decides which side of the stage 310 00:16:50,480 --> 00:16:54,560 Speaker 2: he wants to stand on. Donald Trump gets the final comment, 311 00:16:54,920 --> 00:16:58,240 Speaker 2: the last person to speak, and perhaps sensibly the non 312 00:16:58,400 --> 00:17:03,320 Speaker 2: speaking candidates microphone will be muted when he's opponent he's talking. 313 00:17:03,960 --> 00:17:07,800 Speaker 1: That's probably quite valuable, isn't it. Yeah, definitely, because this 314 00:17:07,880 --> 00:17:10,520 Speaker 1: is the first This is the first ever debate between 315 00:17:10,520 --> 00:17:12,280 Speaker 1: a sitting and former president. 316 00:17:12,640 --> 00:17:15,120 Speaker 2: Yes, it would be actually because. 317 00:17:14,800 --> 00:17:18,639 Speaker 1: The last time there was a rematch was in the fifties. Wow. Yeah, 318 00:17:18,680 --> 00:17:21,800 Speaker 1: And I for one, Sean will be watching. 319 00:17:21,560 --> 00:17:25,880 Speaker 2: Eleven AM, Sydney, Melbourne, Brisbane. Time be there. 320 00:17:26,000 --> 00:17:29,919 Speaker 1: It's on like Donkey Kong now, Sean, last one. This 321 00:17:30,040 --> 00:17:33,440 Speaker 1: story feels like it's been included for me. Boeing is 322 00:17:33,520 --> 00:17:37,400 Speaker 1: under pressure after suggestions that two NASA astronauts had become 323 00:17:37,680 --> 00:17:42,400 Speaker 1: stranded on the International Space Station because of problems encountered 324 00:17:42,400 --> 00:17:45,800 Speaker 1: by the company's star Liner spacecraft on its long delayed 325 00:17:45,800 --> 00:17:49,360 Speaker 1: first crude flight. So NASA and Boeing decided last week 326 00:17:49,400 --> 00:17:52,879 Speaker 1: to postpone for the second time the return flight of 327 00:17:52,960 --> 00:17:58,240 Speaker 1: the spacecraft, which docked with the space station on June sixth. 328 00:17:58,840 --> 00:18:04,040 Speaker 1: It's been delayed untill an unspecified date next month. Starliner 329 00:18:04,119 --> 00:18:07,760 Speaker 1: was performing well, the company said, and astronauts Sawney Williams 330 00:18:07,800 --> 00:18:10,840 Speaker 1: and Butch Wilmore could return to Earth at any time 331 00:18:10,960 --> 00:18:14,080 Speaker 1: if necessary. Well, you think if that was the case, 332 00:18:15,080 --> 00:18:17,119 Speaker 1: why did they delay them? Anyway? 333 00:18:17,160 --> 00:18:19,080 Speaker 2: It comes at a pretty poor time for Boeing, which 334 00:18:19,080 --> 00:18:21,919 Speaker 2: is still mind and controversy over the safety culture at 335 00:18:21,920 --> 00:18:25,399 Speaker 2: its commercial aerospace division. According to reporting The Financial Times, 336 00:18:25,560 --> 00:18:28,440 Speaker 2: the defense and space business of Boeing, meanwhile, has been 337 00:18:28,480 --> 00:18:31,840 Speaker 2: struggling financially. It lost about one point seven billion US 338 00:18:31,880 --> 00:18:35,080 Speaker 2: dollars last year. NASA is hoping Starliner will eventually be 339 00:18:35,160 --> 00:18:39,359 Speaker 2: a viable competitor to Elon Musk's SpaceX for cargo and 340 00:18:39,520 --> 00:18:44,400 Speaker 2: cruise the International Space Station and eventually the Moon two, 341 00:18:44,760 --> 00:18:46,840 Speaker 2: but for the moment, there's a couple of astronauts in 342 00:18:46,880 --> 00:18:49,520 Speaker 2: space kind of stranded up there, a. 343 00:18:49,440 --> 00:18:52,320 Speaker 1: Couple of interesting things. Here sean to point out, it 344 00:18:52,480 --> 00:18:57,680 Speaker 1: ish that Butch Wilmore his name is actually Barry Wilmore, 345 00:18:57,880 --> 00:19:01,400 Speaker 1: but Butch would have to be the most American nickname 346 00:19:01,520 --> 00:19:05,200 Speaker 1: you could give to an astronaut, isn't it. And Butch Wilmore, 347 00:19:05,440 --> 00:19:08,240 Speaker 1: interestingly is sixty one years old. 348 00:19:08,480 --> 00:19:12,000 Speaker 2: Right and getting ages here, Michael, be careful, go on. 349 00:19:12,080 --> 00:19:14,240 Speaker 1: I don't know, but you know, you kind of always 350 00:19:14,240 --> 00:19:17,439 Speaker 1: have this preconceived idea that astronauts are all going to 351 00:19:17,480 --> 00:19:20,240 Speaker 1: be in their kind of twenties and thirties because it's 352 00:19:20,280 --> 00:19:23,879 Speaker 1: like so physically demanding. But clearly experience and knowledge and 353 00:19:23,920 --> 00:19:26,040 Speaker 1: capability counts for a heck of a lot more than 354 00:19:26,080 --> 00:19:28,240 Speaker 1: just the physical capacity and the ability to do it. 355 00:19:28,480 --> 00:19:30,320 Speaker 1: And the final point I need to make here, suret 356 00:19:30,320 --> 00:19:31,760 Speaker 1: and this is sarting to sound like the Weekend ed 357 00:19:31,800 --> 00:19:33,879 Speaker 1: ithit isn't it. But the final point I need to 358 00:19:33,880 --> 00:19:36,320 Speaker 1: make here is that if you haven't already, go and 359 00:19:36,359 --> 00:19:40,399 Speaker 1: download the ISS Spotter app, which is the International Space 360 00:19:40,440 --> 00:19:43,760 Speaker 1: Station Spotter app ISS Spotter. You can get it from 361 00:19:43,760 --> 00:19:45,119 Speaker 1: the app store. All that kind of thing, and you 362 00:19:45,119 --> 00:19:48,800 Speaker 1: can actually see when the space station will be passing over, 363 00:19:48,880 --> 00:19:51,000 Speaker 1: and it tells you how clearly you'll be able to 364 00:19:51,040 --> 00:19:54,119 Speaker 1: see it and kind of at what time, exactly what 365 00:19:54,200 --> 00:19:55,720 Speaker 1: time and where in the sky you need to look 366 00:19:55,720 --> 00:19:58,159 Speaker 1: at it, and you can go and check that. You 367 00:19:58,200 --> 00:20:00,479 Speaker 1: can walk outside, and you can give I bought your 368 00:20:00,480 --> 00:20:03,080 Speaker 1: wave as he passes over, knowing that he's trapped on 369 00:20:03,080 --> 00:20:03,400 Speaker 1: that thing. 370 00:20:03,480 --> 00:20:07,840 Speaker 2: Yeah, what a good idea, What a good idea. But 371 00:20:08,600 --> 00:20:10,560 Speaker 2: one thing I just made quick comment on that. You know, 372 00:20:10,600 --> 00:20:13,360 Speaker 2: when you get on a plane and you see the 373 00:20:13,440 --> 00:20:16,280 Speaker 2: thirty five year old pilot versus sixty five year old pilot, 374 00:20:16,560 --> 00:20:18,360 Speaker 2: who do you feel more comfortable with? Oh? 375 00:20:18,400 --> 00:20:22,080 Speaker 1: Absolutely, it's the sixty five year old tunnel every day 376 00:20:22,119 --> 00:20:24,399 Speaker 1: every day. But then again, they're not having to do 377 00:20:24,440 --> 00:20:26,480 Speaker 1: those G force tests where they go up to like 378 00:20:26,640 --> 00:20:28,000 Speaker 1: nine nine g's. 379 00:20:28,160 --> 00:20:31,240 Speaker 2: Oh, Michael, you mock whee old these you mockers? 380 00:20:31,440 --> 00:20:33,240 Speaker 1: I do. I mock you every day. 381 00:20:33,240 --> 00:20:33,520 Speaker 2: Shot. 382 00:20:33,880 --> 00:20:37,920 Speaker 1: It sounds like you're surprised by this anyway. On, Well, 383 00:20:37,800 --> 00:20:40,840 Speaker 1: we're pretty much done, Yeah, it's over. Up next is 384 00:20:40,840 --> 00:20:43,480 Speaker 1: the Fear and Great Daily Interview. Warren Hogan is your 385 00:20:43,480 --> 00:20:45,480 Speaker 1: guest today, Economic Advisor at Judo Bank. 386 00:20:45,760 --> 00:20:51,159 Speaker 2: He gives us in beautiful detail, eloquently the reason why 387 00:20:51,240 --> 00:20:54,800 Speaker 2: the Reserve Bank could lift interest rates in August. 388 00:20:54,920 --> 00:20:57,440 Speaker 1: And I'm genuine in saying I think this is one 389 00:20:57,440 --> 00:21:00,240 Speaker 1: of the best interviews that you have ever done on 390 00:21:00,960 --> 00:21:03,680 Speaker 1: this show, so it is at absolute must listen. Go 391 00:21:03,720 --> 00:21:06,520 Speaker 1: and check it out, and it will just entirely change 392 00:21:06,600 --> 00:21:10,600 Speaker 1: the way that you understand how the Reserve Bank operates 393 00:21:10,640 --> 00:21:13,719 Speaker 1: and the factors that they are having to consider in 394 00:21:13,800 --> 00:21:16,760 Speaker 1: terms of putting up potentially putting up interest rates. Go 395 00:21:16,800 --> 00:21:18,080 Speaker 1: and check it out. It's coming up next to the 396 00:21:18,080 --> 00:21:20,719 Speaker 1: Fear and Greed playlist on your podcast platform or at 397 00:21:20,760 --> 00:21:23,960 Speaker 1: Fearangreed dot com dot au. Thank you Sean, Thank you Michael. 398 00:21:24,160 --> 00:21:26,800 Speaker 1: It's Friday, the twenty eighth of June twenty twenty four. 399 00:21:27,200 --> 00:21:29,480 Speaker 1: Make sure you're following the podcast and please join us 400 00:21:29,520 --> 00:21:34,000 Speaker 1: online on LinkedIn, Instagram, x TikTok and Facebook. I'm Michael 401 00:21:34,000 --> 00:21:36,480 Speaker 1: Thompson and that was Fear and Greed. Have a great day.