1 00:00:06,360 --> 00:00:10,440 Speaker 1: The International Monetary Fund warns against too much government spending 2 00:00:10,520 --> 00:00:14,120 Speaker 1: and supports higher interest rates in Australia. The development of 3 00:00:14,160 --> 00:00:17,560 Speaker 1: a hydrogen energy sector in Australia takes a hit. And 4 00:00:17,600 --> 00:00:20,560 Speaker 1: get ready for more ads on your streaming service. Welcome 5 00:00:20,560 --> 00:00:22,880 Speaker 1: to Fear and Greed. Daily business news for people who 6 00:00:22,880 --> 00:00:25,279 Speaker 1: make their own decisions. It is Friday, the fourth of 7 00:00:25,320 --> 00:00:28,600 Speaker 1: October twenty twenty four. I'm Michael Thompson and good morning 8 00:00:28,640 --> 00:00:29,360 Speaker 1: Sean Aylmer. 9 00:00:29,760 --> 00:00:31,600 Speaker 2: Good morning, Michael Sewan. 10 00:00:31,640 --> 00:00:34,520 Speaker 1: The main story this morning. The International Monetary Fund has 11 00:00:34,600 --> 00:00:38,239 Speaker 1: warned that government spending could keep interest rates higher than 12 00:00:38,280 --> 00:00:41,159 Speaker 1: they otherwise would be and has told the federal government 13 00:00:41,240 --> 00:00:43,320 Speaker 1: to target future cost of living relief. 14 00:00:43,680 --> 00:00:47,040 Speaker 2: The IMF, in its annual health check of the Australian economy, 15 00:00:47,080 --> 00:00:50,159 Speaker 2: called for an overhaul of the tax system, suggesting the 16 00:00:50,200 --> 00:00:54,160 Speaker 2: government phase out superinnuation tax concessions and capital gains tax 17 00:00:54,520 --> 00:00:57,880 Speaker 2: discounts to fund a reduction in personal income and company 18 00:00:57,880 --> 00:00:59,760 Speaker 2: tax rates. The IMF said there was a case to 19 00:00:59,840 --> 00:01:04,240 Speaker 2: re evaluate tax concessions paid to property investors. That's a 20 00:01:04,240 --> 00:01:06,920 Speaker 2: hot button topic here. As part of a broader package 21 00:01:06,959 --> 00:01:10,200 Speaker 2: designed to address Australia's chronic housing shortage. It said two 22 00:01:10,200 --> 00:01:13,320 Speaker 2: federal budget surpluses in a row was good news. However, 23 00:01:13,520 --> 00:01:16,920 Speaker 2: the budget for this financial year had a positive fiscal 24 00:01:17,240 --> 00:01:19,959 Speaker 2: impulse in English. 25 00:01:19,680 --> 00:01:20,560 Speaker 1: Yeah, what's that mean? 26 00:01:21,080 --> 00:01:24,920 Speaker 2: Adding to demand and inflation re pressures. The comment about 27 00:01:24,920 --> 00:01:27,920 Speaker 2: targeting cost of living relief is significant. Plenty of the 28 00:01:27,959 --> 00:01:31,399 Speaker 2: government policies, like the energy rebates go to everyone, not 29 00:01:31,440 --> 00:01:34,560 Speaker 2: just the people who really need it. Given the likelihood 30 00:01:34,600 --> 00:01:37,720 Speaker 2: of more household subsidies ahead of the next election, it 31 00:01:37,760 --> 00:01:40,440 Speaker 2: will be interesting to see if Treasurer Jim Chalmers is 32 00:01:40,480 --> 00:01:43,520 Speaker 2: listening to the IMF. The IMF endorsed the Reserve Bank's 33 00:01:43,600 --> 00:01:46,880 Speaker 2: restrictive policy stance, but warned that interest rates would need 34 00:01:46,920 --> 00:01:51,440 Speaker 2: to rise if progress on lowering inflation stopped, potentially due 35 00:01:51,480 --> 00:01:54,880 Speaker 2: to stronger than expected government spending or global supply chain disruptions. 36 00:01:55,080 --> 00:01:57,480 Speaker 2: It endorsed what the Reserve Bank is doing on interest rates. 37 00:01:57,480 --> 00:02:03,520 Speaker 1: Basically, we're very pragmatic here on fear and greed. We're realists. 38 00:02:04,080 --> 00:02:06,480 Speaker 1: So I've got to ask, is any of this actually 39 00:02:06,520 --> 00:02:07,040 Speaker 1: going to happen? 40 00:02:07,360 --> 00:02:09,720 Speaker 2: Oh God, no, no, no, no. I mean a complete 41 00:02:09,880 --> 00:02:14,799 Speaker 2: overhaul of the tax system Buckley's chance. Okay, even if 42 00:02:14,840 --> 00:02:18,160 Speaker 2: it is a good idea. What's important here the IMF 43 00:02:18,200 --> 00:02:21,360 Speaker 2: can sit outside Australia and look in without having to 44 00:02:21,360 --> 00:02:24,760 Speaker 2: deal with the politics of the situation or its recommendations, 45 00:02:25,520 --> 00:02:29,200 Speaker 2: and give us its view, a fairly independent view of 46 00:02:29,320 --> 00:02:31,639 Speaker 2: how we could fix the system. The gist of its 47 00:02:31,680 --> 00:02:34,800 Speaker 2: tax argument is that the system is too reliant on 48 00:02:34,919 --> 00:02:39,120 Speaker 2: direct taxation of individuals and companies. They should be wound back, 49 00:02:39,639 --> 00:02:43,280 Speaker 2: as should tax relief in areas like negative gearing. So 50 00:02:43,360 --> 00:02:45,320 Speaker 2: when we talk about negative gearing and all the debate 51 00:02:45,400 --> 00:02:47,560 Speaker 2: going on in canber at the moment, and a couple 52 00:02:47,600 --> 00:02:52,080 Speaker 2: of gains tax concessions, the flip side is if that 53 00:02:52,200 --> 00:02:56,799 Speaker 2: was done, the savings made their should help finance tax cuts, 54 00:02:56,840 --> 00:03:01,079 Speaker 2: personal income tax cuts, cuts to the company tax rates. 55 00:03:01,440 --> 00:03:04,360 Speaker 2: I reckon that's a pretty good idea personally. The good 56 00:03:04,360 --> 00:03:07,760 Speaker 2: news is that the IMF expects inflation to return sustainably 57 00:03:07,760 --> 00:03:09,639 Speaker 2: to the reserve means target range of two to three 58 00:03:09,639 --> 00:03:12,400 Speaker 2: percent by the end of next year. Though the unknowns 59 00:03:12,440 --> 00:03:14,880 Speaker 2: are house prices. I mean, if they keep rising, people 60 00:03:15,000 --> 00:03:17,000 Speaker 2: could think they're richer than they are and keep spending. 61 00:03:17,480 --> 00:03:21,600 Speaker 2: Government spending is problematic as well, and supply chain disruptions 62 00:03:21,639 --> 00:03:22,560 Speaker 2: are always a threat. 63 00:03:23,040 --> 00:03:26,280 Speaker 1: Sean before we get to a local market. A quick 64 00:03:26,360 --> 00:03:28,960 Speaker 1: mention of the interview that you have coming up after 65 00:03:28,960 --> 00:03:31,679 Speaker 1: the show. You're speaking with Nikola Powell from Domain. 66 00:03:31,880 --> 00:03:34,920 Speaker 2: Sure and we talk all about Domain's rent report. It's 67 00:03:35,000 --> 00:03:37,880 Speaker 2: quarterly which came out this week, and really it's good 68 00:03:37,960 --> 00:03:40,200 Speaker 2: news for renters. I think that's the bottom line to it. 69 00:03:40,440 --> 00:03:41,760 Speaker 2: Great chat with Nikola. 70 00:03:42,120 --> 00:03:44,960 Speaker 1: Yeah, indeed, definitely worth a listener's coming up after the show. 71 00:03:45,720 --> 00:03:47,960 Speaker 1: Back to local markets. What happened yesterday? 72 00:03:48,440 --> 00:03:50,960 Speaker 2: S and pas X two hundred closed up just to 73 00:03:50,960 --> 00:03:53,120 Speaker 2: touch seven points. I suppose we can say that's flat, 74 00:03:53,320 --> 00:03:56,160 Speaker 2: finished at eighty two hundred and five points. Shares in 75 00:03:56,200 --> 00:04:00,600 Speaker 2: commercial property groups did best following an upbeat assessment investment 76 00:04:00,640 --> 00:04:03,680 Speaker 2: bank Baron Joey. In fact, the RIT index was up 77 00:04:03,720 --> 00:04:06,680 Speaker 2: more than one percent. Not a lot of activity going on, 78 00:04:06,880 --> 00:04:10,640 Speaker 2: particularly compared to previous weeks. The banks were mixed, so 79 00:04:10,760 --> 00:04:13,600 Speaker 2: to the retailers and miners. Westpac said it would make 80 00:04:13,680 --> 00:04:15,840 Speaker 2: more than one billion dollars in proceeds from the sale 81 00:04:15,840 --> 00:04:18,400 Speaker 2: of its auto Financed lane book, or what's left of 82 00:04:18,400 --> 00:04:22,160 Speaker 2: its auto finance lane book to Resumac Group. Westpac's share 83 00:04:22,200 --> 00:04:25,560 Speaker 2: price for one percent yesterday. Sigma Healthcare keeps running up 84 00:04:25,600 --> 00:04:29,200 Speaker 2: seven percent yesterday. It's now up about forty percent over 85 00:04:29,240 --> 00:04:31,400 Speaker 2: the past few days. That's when it gave undertakings to 86 00:04:31,440 --> 00:04:35,120 Speaker 2: the Australian Competition and Consumer Commission about its deal to 87 00:04:35,200 --> 00:04:37,880 Speaker 2: merge with Chemist Warehouse. There was also a no Doubt 88 00:04:37,920 --> 00:04:41,960 Speaker 2: from Goldman Sachs suggesting that investors switched from Guzmany Gomez 89 00:04:42,000 --> 00:04:45,120 Speaker 2: shares to Colin's Foods, which is the owner of KFC. 90 00:04:45,560 --> 00:04:47,480 Speaker 2: That pushed the share price of Colin's up more than 91 00:04:47,480 --> 00:04:50,479 Speaker 2: two percent. Goosman was down five percent. Chrismond's share price 92 00:04:50,680 --> 00:04:54,760 Speaker 2: quite amazing. It's actually more than double its listing share 93 00:04:54,800 --> 00:04:58,279 Speaker 2: price on June twenty quite phenomenal. It's gone from twenty 94 00:04:58,320 --> 00:05:00,600 Speaker 2: two bucks to about forty seven to forty eight dollars. 95 00:05:00,680 --> 00:05:01,320 Speaker 2: Quite amazing. 96 00:05:01,320 --> 00:05:04,440 Speaker 1: Pretty incredible story that one now checking international markets thanks 97 00:05:04,480 --> 00:05:08,520 Speaker 1: to blue Chip Communication, the experts helping financial services companies market, 98 00:05:08,680 --> 00:05:13,360 Speaker 1: communicate and grow bitter blue Chipcommunication, dot com, dot AU. 99 00:05:13,480 --> 00:05:15,080 Speaker 1: A lot of attention on oil at the moment. 100 00:05:15,120 --> 00:05:18,400 Speaker 2: Sean Yes prices rose for a third day as traders 101 00:05:18,440 --> 00:05:20,280 Speaker 2: assess what's going on in the Middle East and what 102 00:05:20,320 --> 00:05:23,040 Speaker 2: it means for crude supply the region. Accounts for about 103 00:05:23,200 --> 00:05:26,680 Speaker 2: one third of global supply, and traders are worried that 104 00:05:26,800 --> 00:05:29,920 Speaker 2: the latest escalation could hit flows if energy facilities are 105 00:05:29,960 --> 00:05:33,359 Speaker 2: attacked or supply roots blocked. Gold is slightly lower and 106 00:05:33,360 --> 00:05:35,600 Speaker 2: the Aussie dollar is trading around sixty eight point six 107 00:05:35,800 --> 00:05:38,599 Speaker 2: US cents on Wall Street. Open aim to start up 108 00:05:38,600 --> 00:05:41,960 Speaker 2: behind chat GBT is now worth one hundred and fifty 109 00:05:42,000 --> 00:05:45,680 Speaker 2: seven billion US dollars, and that's based on a capital 110 00:05:45,760 --> 00:05:48,200 Speaker 2: race it did over the past couple of days. It's 111 00:05:48,279 --> 00:05:50,560 Speaker 2: quite remarkable. This is a company now one knew about 112 00:05:50,560 --> 00:05:53,880 Speaker 2: a couple of years ago. It's now on par in 113 00:05:53,960 --> 00:05:56,880 Speaker 2: terms of value with household names like Goldman, Sachs, Uber 114 00:05:56,960 --> 00:05:59,880 Speaker 2: and AT and T. Earlier in the year when employees sold, 115 00:06:00,279 --> 00:06:02,120 Speaker 2: it was valued at eighty six billion dollars now one 116 00:06:02,200 --> 00:06:05,440 Speaker 2: hundred and fifty seven billion US dollars. The funding round 117 00:06:05,480 --> 00:06:07,599 Speaker 2: is one of the largest ever for a private company, 118 00:06:07,600 --> 00:06:11,640 Speaker 2: apart from open AI's ten billion dollar rays from Microsoft 119 00:06:11,640 --> 00:06:14,320 Speaker 2: in January last year. New investors in the latest one 120 00:06:14,360 --> 00:06:18,000 Speaker 2: include Tokyo based conglomerate SoftBank. It's putting in about half 121 00:06:18,000 --> 00:06:21,760 Speaker 2: a billion US. AI chip maker Nvidia is also investing 122 00:06:21,880 --> 00:06:25,120 Speaker 2: about one hundred million US dollars. 123 00:06:24,920 --> 00:06:27,120 Speaker 1: And Sean, I've got to ask you, there is plenty 124 00:06:27,160 --> 00:06:29,200 Speaker 1: going on in the world of rice at the moment, 125 00:06:29,320 --> 00:06:32,360 Speaker 1: and you have been doing a bit of a deep 126 00:06:32,480 --> 00:06:33,400 Speaker 1: dive into rice. 127 00:06:34,200 --> 00:06:38,200 Speaker 2: Yes. So, prices tumbled the most in more than sixteen 128 00:06:38,400 --> 00:06:43,080 Speaker 2: years in recent days, basically concerns over supply, as in 129 00:06:43,120 --> 00:06:47,600 Speaker 2: a lack of supply eas after India relaxed some export restrictions. 130 00:06:48,080 --> 00:06:52,080 Speaker 2: Ti white rice five percent, Michael, one of your faves 131 00:06:52,240 --> 00:06:55,320 Speaker 2: measures on Tai white Tai white rice five percent. 132 00:06:56,760 --> 00:06:58,320 Speaker 1: Is that actually the name of. 133 00:06:58,600 --> 00:07:02,200 Speaker 2: Yeah, it's the age. It's a benchmark. Ah. Yeah, the 134 00:07:02,279 --> 00:07:05,440 Speaker 2: tie white rice five percent not bad. Infect might be broken. 135 00:07:05,440 --> 00:07:08,080 Speaker 2: I think it's actually Tai white rice five percent broken. 136 00:07:09,279 --> 00:07:12,800 Speaker 2: It plunged eleven percent yesterday to five hundred and nine 137 00:07:12,800 --> 00:07:15,320 Speaker 2: dollars a ton the US dollars a ton. That's the 138 00:07:15,320 --> 00:07:18,840 Speaker 2: biggest decline since data was first compiled back in May 139 00:07:18,920 --> 00:07:21,880 Speaker 2: two thousand and eight. It extends a prolonged slide in 140 00:07:22,200 --> 00:07:24,880 Speaker 2: prices to the lowest level of more than fifteen months. 141 00:07:24,920 --> 00:07:29,280 Speaker 2: According to Bloomberg, rice rallied last year after India implemented 142 00:07:29,320 --> 00:07:32,960 Speaker 2: restrictions to contain prices. The head of Elections India which 143 00:07:33,000 --> 00:07:35,160 Speaker 2: is the world's biggest exporter, has now loosened some of 144 00:07:35,200 --> 00:07:38,760 Speaker 2: those restrictions. Australia export's about two hundred million dollars of rice. 145 00:07:39,120 --> 00:07:42,560 Speaker 2: We rank eighteenth in terms of rice exporters and number 146 00:07:42,600 --> 00:07:43,240 Speaker 2: one destination. 147 00:07:43,360 --> 00:07:48,360 Speaker 1: Michael, have a guess somewhere nearby. I'm assuming I say 148 00:07:48,360 --> 00:07:50,240 Speaker 1: that with such confidence, but I'm assuming it would be 149 00:07:50,240 --> 00:07:52,200 Speaker 1: relatively close Israel. 150 00:07:52,440 --> 00:07:53,080 Speaker 2: Believe it or not. 151 00:07:53,360 --> 00:07:55,960 Speaker 1: That's about as far as away as it can possibly get, right. 152 00:07:56,640 --> 00:07:58,440 Speaker 2: I don't know why Israel, but it is there. 153 00:07:58,440 --> 00:08:04,920 Speaker 1: You go, Taie rice five broken? Now just sounds like 154 00:08:04,920 --> 00:08:08,360 Speaker 1: I'm putting words together. Thailand five percent broken rice. 155 00:08:08,640 --> 00:08:10,360 Speaker 2: Taiwhite rice five percent broken. 156 00:08:11,200 --> 00:08:14,640 Speaker 1: Surely, surely the marketing department needs needs to pay a 157 00:08:14,680 --> 00:08:18,120 Speaker 1: bit of attention to that. That can definitely be jazzed 158 00:08:18,200 --> 00:08:18,760 Speaker 1: up a little. 159 00:08:18,600 --> 00:08:22,760 Speaker 2: Bit, right, Yeah, twr five percent b You know what 160 00:08:22,880 --> 00:08:25,240 Speaker 2: I think that's that's not much of an improvement. 161 00:08:25,320 --> 00:08:27,840 Speaker 1: No, true, Nat true, It really doesn't roll off the tongueyet. 162 00:08:27,920 --> 00:08:29,880 Speaker 1: I'll take that as my homework, Sean, I'll come up 163 00:08:29,920 --> 00:08:33,480 Speaker 1: with something better for us. In the meantime, we'll take 164 00:08:33,520 --> 00:08:35,040 Speaker 1: a quick break. We'll be back in a moment with 165 00:08:35,080 --> 00:08:38,319 Speaker 1: the rest of the day's business news. 166 00:08:42,880 --> 00:08:43,160 Speaker 2: Sean. 167 00:08:43,200 --> 00:08:47,640 Speaker 1: The development of a sustainable, cost effective hydrogen industry took 168 00:08:47,679 --> 00:08:51,560 Speaker 1: a major step backwards yesterday after Origin Energy said it'll 169 00:08:51,679 --> 00:08:54,559 Speaker 1: exit it's existing hydro ventures. 170 00:08:54,640 --> 00:08:58,360 Speaker 2: They are too expensive, Origin said, and the Electricity and 171 00:08:58,400 --> 00:09:00,520 Speaker 2: Gas Group said it won't go ahead with its Hunter 172 00:09:00,600 --> 00:09:03,640 Speaker 2: Valley hydrogen hub, which was in line to get funding 173 00:09:03,640 --> 00:09:07,080 Speaker 2: from the federal government. Chief executive Frank Calabria told the 174 00:09:07,200 --> 00:09:10,000 Speaker 2: fin Review that it was clear that the hydrogen market 175 00:09:10,360 --> 00:09:14,360 Speaker 2: was developing more slowly than anticipated and the remains risks 176 00:09:14,440 --> 00:09:18,200 Speaker 2: in terms of costs and tech advances now. A couple 177 00:09:18,280 --> 00:09:21,320 Speaker 2: of months ago, Fordeskew drop plans for green hydrogen production 178 00:09:21,480 --> 00:09:24,480 Speaker 2: as well. The Albanezy government has committed to a two 179 00:09:24,520 --> 00:09:28,320 Speaker 2: dollars a kilogram subsidy for hydrogen producers under its Hydrogen 180 00:09:28,360 --> 00:09:31,120 Speaker 2: head Start program, along with about six point seven billion 181 00:09:31,160 --> 00:09:34,560 Speaker 2: dollars in production tax credits, but there is now a 182 00:09:34,679 --> 00:09:37,960 Speaker 2: shrinking list of operators who might be able to benefit 183 00:09:37,960 --> 00:09:42,120 Speaker 2: from those handouts. That segment of the renewable energy market 184 00:09:42,240 --> 00:09:43,240 Speaker 2: is struggling big. 185 00:09:43,080 --> 00:09:46,720 Speaker 1: Time, shown as the crisis in the Middle East worsened, 186 00:09:46,760 --> 00:09:49,640 Speaker 1: and we'll have more on that story later. Pro Palestine 187 00:09:49,760 --> 00:09:53,679 Speaker 1: organizers in Sydney have dumped plans to hold an assembly 188 00:09:53,760 --> 00:09:56,840 Speaker 1: to mark the one year anniversary of the Hamas invasion 189 00:09:56,840 --> 00:09:57,360 Speaker 1: of Israel. 190 00:09:58,120 --> 00:10:00,240 Speaker 2: That's right now. Earlier in the day, New Southways Ois 191 00:10:00,280 --> 00:10:03,720 Speaker 2: Premier Chris Mins said any protest shows no sympathy for 192 00:10:03,760 --> 00:10:06,760 Speaker 2: the fact that this was a terrible terrorist incident in 193 00:10:06,960 --> 00:10:10,200 Speaker 2: Israel and there are people who are grieving, and he 194 00:10:10,320 --> 00:10:14,319 Speaker 2: called it distasteful at best. He had made an application 195 00:10:14,360 --> 00:10:18,080 Speaker 2: to stop the protest ahead of the organizers pulling the plug. Meanwhile, 196 00:10:18,080 --> 00:10:21,520 Speaker 2: Opposition Leader Peter Dutton has accused Victorian Premier j Cinra 197 00:10:21,600 --> 00:10:25,120 Speaker 2: Allen of hiding behind an argument of convenience for not 198 00:10:25,200 --> 00:10:29,240 Speaker 2: moving to block planned anti Israel protests in Melbourne on 199 00:10:29,320 --> 00:10:30,320 Speaker 2: the seventh. 200 00:10:30,440 --> 00:10:33,240 Speaker 1: And The federal government is working hard to get Australians 201 00:10:33,240 --> 00:10:33,920 Speaker 1: out of Lebanon. 202 00:10:34,320 --> 00:10:38,760 Speaker 2: Around seventeen hundred Australian citizens, permanent residents and immediate family 203 00:10:38,800 --> 00:10:42,640 Speaker 2: members had registered to leave Lebanon. Foreign Affairs Minister Penny 204 00:10:42,640 --> 00:10:45,000 Speaker 2: Wong said the government had secured five hundred and eighty 205 00:10:45,040 --> 00:10:47,720 Speaker 2: seats on flights out of the country in coming days. 206 00:10:47,920 --> 00:10:52,160 Speaker 2: She said the Australian government has WLAF aircraft in Cyprus 207 00:10:52,400 --> 00:10:54,000 Speaker 2: as a contingency. 208 00:10:53,960 --> 00:10:56,720 Speaker 1: Sean one of our favorite companies. I say favorite because 209 00:10:56,720 --> 00:10:59,680 Speaker 1: we've spoken to the boss of SPC a few times. 210 00:11:00,200 --> 00:11:02,120 Speaker 1: But the canned food group is heading back to the 211 00:11:02,160 --> 00:11:05,960 Speaker 1: ASX with a reverse takeover of Original Juice Co. 212 00:11:06,880 --> 00:11:10,320 Speaker 2: The Original Juice carn't. Do you drink orange juice. 213 00:11:10,320 --> 00:11:10,839 Speaker 1: A little bit? 214 00:11:11,040 --> 00:11:11,240 Speaker 2: Yes? 215 00:11:11,360 --> 00:11:12,000 Speaker 1: Yes, I doubled. 216 00:11:12,000 --> 00:11:14,560 Speaker 2: I'm not I would dabble too. I'm not a big 217 00:11:14,600 --> 00:11:16,920 Speaker 2: orange juice fan except for Original Juice Care. 218 00:11:17,760 --> 00:11:19,120 Speaker 1: I like a bit of pulp, don't you. 219 00:11:19,520 --> 00:11:21,920 Speaker 2: Including pulp? Absolutely, including pulp. Yep. Yeah. 220 00:11:21,920 --> 00:11:23,720 Speaker 1: I never trust people who don't like pulp. 221 00:11:24,040 --> 00:11:27,600 Speaker 2: No, no, my daughter insistently pulp free. Oh Dan. It's 222 00:11:27,640 --> 00:11:30,280 Speaker 2: been an issue between us, but I think we I 223 00:11:30,280 --> 00:11:33,040 Speaker 2: think we're working through it. 224 00:11:33,040 --> 00:11:36,280 Speaker 1: It makes for a very frosty breakfast. You guys don't 225 00:11:36,280 --> 00:11:37,320 Speaker 1: speak until lunchtime. 226 00:11:39,400 --> 00:11:42,199 Speaker 2: SPC was established more than one hundred years ago as 227 00:11:42,240 --> 00:11:46,120 Speaker 2: a farmer cooperative in Victoria, eventually listed on the ASEX 228 00:11:46,280 --> 00:11:48,720 Speaker 2: and delisted in two thousand and five after being bought 229 00:11:48,760 --> 00:11:51,160 Speaker 2: by Coca Cola Amatour for about seven hundred and fifty 230 00:11:51,200 --> 00:11:54,280 Speaker 2: million dollars. A private equity group then brought the business 231 00:11:54,320 --> 00:11:57,080 Speaker 2: back from Coca Cola that was in twenty nineteen for 232 00:11:57,240 --> 00:12:02,040 Speaker 2: just forty million dollars. Ow SPC will merge with Original 233 00:12:02,160 --> 00:12:05,959 Speaker 2: Juice Co. It's a small ax listed stock. It's got 234 00:12:05,960 --> 00:12:09,520 Speaker 2: a valuation of about fifty three million dollars. The combined 235 00:12:09,520 --> 00:12:12,800 Speaker 2: group will spend fifty million dollars to acquire Nature One Dairies, 236 00:12:12,880 --> 00:12:16,640 Speaker 2: Infant Formula and Powdered Milk business. Combined annual revenues for 237 00:12:16,679 --> 00:12:19,200 Speaker 2: all the businesses should be in the four hundred million 238 00:12:19,240 --> 00:12:21,520 Speaker 2: dollar range. The main brands in the SPC business or 239 00:12:21,600 --> 00:12:25,800 Speaker 2: SPC Mona, Golden Valley and pro Vital. The Original Juice 240 00:12:25,800 --> 00:12:29,000 Speaker 2: Co is the third largest orange juice producer in the country. 241 00:12:29,640 --> 00:12:34,280 Speaker 1: The Namoy Cotton Louis Dreyfus takeover Saga Sean, which we 242 00:12:34,360 --> 00:12:37,400 Speaker 1: thought had ended on Wednesday, continues. 243 00:12:37,920 --> 00:12:40,199 Speaker 2: Yes, I did say maybe, I said yeah. 244 00:12:40,640 --> 00:12:43,840 Speaker 1: I remember you were very very careful to qualify it. Yes, 245 00:12:44,120 --> 00:12:47,000 Speaker 1: you are usually quite okay with being definitive on these things, 246 00:12:47,000 --> 00:12:48,600 Speaker 1: but this one you are still hedging your bet. 247 00:12:48,960 --> 00:12:51,559 Speaker 2: It just keeps giving. And this this next bit had 248 00:12:51,600 --> 00:12:54,600 Speaker 2: nothing to do with Nemoy or Louis Dreyfus. So the 249 00:12:54,640 --> 00:12:57,520 Speaker 2: ASEX was forced to scrap hundreds of thousands of dollars 250 00:12:57,559 --> 00:13:01,560 Speaker 2: in trades in Nemoy cotton. These are the trades that 251 00:13:01,800 --> 00:13:05,320 Speaker 2: allowed Louis Drefus to get over fifty percent, so they 252 00:13:05,320 --> 00:13:09,440 Speaker 2: were scrapped after the ASEX failed to publish an updated 253 00:13:09,520 --> 00:13:14,240 Speaker 2: takeover offer from bitter Louis Dreyfus ahead of trading. The 254 00:13:14,240 --> 00:13:17,680 Speaker 2: information should have been published by the AASEX ahead of 255 00:13:17,679 --> 00:13:21,199 Speaker 2: the opening on Tuesday. It was definitely relevant information. It 256 00:13:21,280 --> 00:13:23,520 Speaker 2: said that Louis Drefus had up to its takeover offer 257 00:13:23,559 --> 00:13:25,839 Speaker 2: to seventy seven cents a share for Neamoi. It had 258 00:13:25,880 --> 00:13:29,920 Speaker 2: the support of a major shareholder. That's pretty relevant, pretty material. 259 00:13:30,000 --> 00:13:32,640 Speaker 2: But for some unknown reason, well the AX said it 260 00:13:32,679 --> 00:13:36,880 Speaker 2: was a processing error. The announcement didn't make the exchange. 261 00:13:36,920 --> 00:13:40,040 Speaker 2: It wasn't published between ten oh six and ten twelve 262 00:13:40,040 --> 00:13:43,600 Speaker 2: on Tuesday morning, shares were traded below seventy seven cents 263 00:13:43,640 --> 00:13:46,920 Speaker 2: a share. Now the revised offer was for seventy seven 264 00:13:47,040 --> 00:13:49,800 Speaker 2: cents a share. In the end, it probably doesn't make 265 00:13:49,960 --> 00:13:54,080 Speaker 2: much difference. Louis Drefus got Namoi cotton. There's not a 266 00:13:54,200 --> 00:13:58,000 Speaker 2: huge difference between seventy seven cents and seventy six point five. 267 00:13:58,040 --> 00:14:00,839 Speaker 2: But if you've got you know, fouls or hundreds of 268 00:14:00,840 --> 00:14:03,840 Speaker 2: thousands or millions of shares, you'd be worried about that. 269 00:14:03,880 --> 00:14:05,319 Speaker 2: And what if this deal was much bigger? 270 00:14:06,720 --> 00:14:09,319 Speaker 1: Anyway, Can we say it's officially done now. 271 00:14:09,160 --> 00:14:13,320 Speaker 2: Though, I'm going to go with it. I'm going to say, yeah, 272 00:14:13,400 --> 00:14:15,240 Speaker 2: I reckon. This was just like an asterisk at the 273 00:14:15,280 --> 00:14:15,560 Speaker 2: end of it. 274 00:14:15,960 --> 00:14:20,240 Speaker 1: Yeah, what do they call it? A footnote? A footnote? Yeah, 275 00:14:20,760 --> 00:14:23,320 Speaker 1: it's officially done. Fear and greed has given it the 276 00:14:23,320 --> 00:14:27,360 Speaker 1: official stamp of approval. It's finished. Turning to international news now, 277 00:14:27,480 --> 00:14:29,800 Speaker 1: Sean and we did mention the situation in the Middle 278 00:14:29,840 --> 00:14:33,320 Speaker 1: East earlier. Israel bombed central de Route yesterday, killing at 279 00:14:33,400 --> 00:14:37,040 Speaker 1: least six people, after its forces suffered their deadliest day 280 00:14:37,080 --> 00:14:39,680 Speaker 1: on the Lebanese front in a year of clashes against 281 00:14:39,680 --> 00:14:40,840 Speaker 1: Iran backed Hezbalah. 282 00:14:41,320 --> 00:14:44,600 Speaker 2: Israel said it conducted a precise air strike on Bey Route. 283 00:14:44,680 --> 00:14:48,280 Speaker 2: According to Reuter's a security source that Israel targeted a 284 00:14:48,280 --> 00:14:52,400 Speaker 2: building in central Beayroots, the current neighborhood close to Parliament, 285 00:14:52,680 --> 00:14:56,320 Speaker 2: the nearest Israeli strikes have come to Lebanon's capital. At 286 00:14:56,440 --> 00:14:59,920 Speaker 2: least six people were killed and seven wounded. Lebanese healthf 287 00:15:00,080 --> 00:15:04,320 Speaker 2: Shull said three missiles also hit the southern suburb of Daya, 288 00:15:04,760 --> 00:15:09,080 Speaker 2: where Hesbala leader Hassen Israela was killed last week. Meanwhile, 289 00:15:09,120 --> 00:15:11,280 Speaker 2: the US and its Western allies are trying to limit 290 00:15:11,360 --> 00:15:14,640 Speaker 2: Israel's response to Iran's ballistic missile attacks three days ago. 291 00:15:15,080 --> 00:15:17,440 Speaker 2: Washington has made it clear it supports Israel's right to 292 00:15:17,440 --> 00:15:21,400 Speaker 2: respond militarily to the attack and is holding frequent calls 293 00:15:21,440 --> 00:15:25,200 Speaker 2: with Israeli officials, but US officials also concede their influence 294 00:15:25,200 --> 00:15:26,280 Speaker 2: on Israel is limited. 295 00:15:26,920 --> 00:15:30,720 Speaker 1: Sean Tesla announced to jump in quarterly vehicle sales for 296 00:15:30,760 --> 00:15:33,120 Speaker 1: the three months to the end of September, though it 297 00:15:33,120 --> 00:15:36,080 Speaker 1: seems the rise wasn't enough to keep investors happy. 298 00:15:36,720 --> 00:15:38,600 Speaker 2: No investors were hoping for more of a jump in 299 00:15:38,640 --> 00:15:41,760 Speaker 2: sales in China. Overall, nearly four hundred and sixty three 300 00:15:41,800 --> 00:15:44,360 Speaker 2: thousand Tesla's were sold during the quarter, up six percent 301 00:15:44,440 --> 00:15:47,440 Speaker 2: from a year earlier. Tesla's share price fell three and 302 00:15:47,440 --> 00:15:50,480 Speaker 2: a half percent by the close, having earlier dropped more 303 00:15:50,480 --> 00:15:53,760 Speaker 2: than six percent. Basically, China's government doubled and incentive for 304 00:15:53,840 --> 00:15:57,680 Speaker 2: consumers to trade in older cars for electric vehicles that 305 00:15:57,840 --> 00:16:00,160 Speaker 2: was supposed to boost Tesla sales. Also, there's been any 306 00:16:00,200 --> 00:16:03,160 Speaker 2: of excitement around self driving proto types due to be 307 00:16:03,280 --> 00:16:07,480 Speaker 2: released shortly that was supposed to add to SARS as well. Basically, 308 00:16:07,520 --> 00:16:12,000 Speaker 2: in the end, they helped, but not enough according to investors. 309 00:16:12,440 --> 00:16:15,840 Speaker 1: And finally, Amazon is set to roll out a greater 310 00:16:15,960 --> 00:16:19,600 Speaker 1: number of advertisements across its Blockbuster TV shows and movies 311 00:16:19,680 --> 00:16:23,400 Speaker 1: on Prime Video next year as it pushes further into 312 00:16:23,440 --> 00:16:25,320 Speaker 1: ad funded streaming services. 313 00:16:25,880 --> 00:16:28,160 Speaker 2: So the company said it hadn't seen a sharp drop 314 00:16:28,160 --> 00:16:31,880 Speaker 2: in subscribers since it introduced advertising to its Prime Video 315 00:16:31,960 --> 00:16:35,320 Speaker 2: platform eight months ago, a laying fears among top executives 316 00:16:35,400 --> 00:16:39,280 Speaker 2: of a customer backlash. Amazon's joined a highly competitive market 317 00:16:39,320 --> 00:16:44,320 Speaker 2: for ad supported streaming services. Most rival platforms think Netflix Max, 318 00:16:44,560 --> 00:16:48,400 Speaker 2: Paramount Plus, Disney Plus have brought in ad supported tears 319 00:16:48,560 --> 00:16:52,160 Speaker 2: at a lower price than subscriptions that carry nads at all. 320 00:16:52,200 --> 00:16:54,920 Speaker 2: According to The Financial Times, Amazon said it had a 321 00:16:54,920 --> 00:16:58,040 Speaker 2: global ad reach of about two hundred million the average 322 00:16:58,040 --> 00:17:01,120 Speaker 2: monthly potential viewers of ad supported Prime Video, with more 323 00:17:01,120 --> 00:17:04,280 Speaker 2: than half in the US. Why has it got so many? 324 00:17:04,440 --> 00:17:07,000 Speaker 2: Because Amazon did something a bit different to the rest 325 00:17:07,320 --> 00:17:10,920 Speaker 2: The group automatically flipped It's more than two hundred million 326 00:17:10,920 --> 00:17:15,440 Speaker 2: total global subscribers to its ad supported service unless they 327 00:17:15,680 --> 00:17:19,639 Speaker 2: actively chose to pay more for premium ad free services. 328 00:17:20,560 --> 00:17:23,000 Speaker 2: Kind of good. People have to opt out rather than 329 00:17:23,000 --> 00:17:23,440 Speaker 2: opt in. 330 00:17:23,800 --> 00:17:26,680 Speaker 1: All right, Up next is the Fear and Greed Daily Interview. 331 00:17:26,720 --> 00:17:30,720 Speaker 1: Your guest today is doctor Nicola Powell from Domain All. 332 00:17:30,520 --> 00:17:32,919 Speaker 2: About what's happening in the rental market. Great one for 333 00:17:33,000 --> 00:17:36,879 Speaker 2: anyone renting, great one for investors who are investing in property, 334 00:17:36,880 --> 00:17:38,960 Speaker 2: and great one for anyone who owns a home because 335 00:17:38,960 --> 00:17:41,720 Speaker 2: you learn something about well what you possibly could get 336 00:17:41,720 --> 00:17:42,200 Speaker 2: for your home. 337 00:17:42,520 --> 00:17:44,480 Speaker 1: Indeed, it is coming up in the Fear and Greed 338 00:17:44,480 --> 00:17:47,800 Speaker 1: playlist on your podcast platform or at Fearandgreed dot com 339 00:17:47,840 --> 00:17:49,880 Speaker 1: dot au, and keep an eye on your playlist because 340 00:17:49,880 --> 00:17:53,320 Speaker 1: at midday today the newest episode of Ask Fear and Greed, 341 00:17:53,320 --> 00:17:55,120 Speaker 1: our bonus podcast. I think it goes for about five 342 00:17:55,200 --> 00:18:00,720 Speaker 1: or six or seven minutes unless it's today's question. Well, 343 00:18:00,760 --> 00:18:03,760 Speaker 1: I mean, obviously we take listener questions and you answer them. 344 00:18:03,840 --> 00:18:08,240 Speaker 1: Typically it's you answering them, Sean, because there are often 345 00:18:08,320 --> 00:18:10,800 Speaker 1: questions about the economy or they're about business, and you've 346 00:18:10,840 --> 00:18:13,840 Speaker 1: got a lot more experience in these particular spaces. But anyway, 347 00:18:13,880 --> 00:18:17,960 Speaker 1: Bill asks the question today and I have never seen 348 00:18:18,000 --> 00:18:20,760 Speaker 1: you so excited to ask a question, to answer a question. 349 00:18:21,480 --> 00:18:24,560 Speaker 2: What about productivity? Productivities? You know what makes the world 350 00:18:24,560 --> 00:18:27,280 Speaker 2: go around. It's certainly the economics world go around. You 351 00:18:27,320 --> 00:18:30,240 Speaker 2: want higher standards of living productivity is your answer? 352 00:18:30,520 --> 00:18:33,080 Speaker 1: Oh God, I've started you off again, haven't we. It's 353 00:18:33,200 --> 00:18:36,119 Speaker 1: if you want to see Sean very very excited, then 354 00:18:36,600 --> 00:18:38,679 Speaker 1: check out ask Fear and Greet at midday and if 355 00:18:38,720 --> 00:18:41,480 Speaker 1: you want to get him excited yourself, then send in 356 00:18:41,520 --> 00:18:44,000 Speaker 1: your own question anything you want to know about the 357 00:18:44,000 --> 00:18:46,800 Speaker 1: economy or business or anything. Really, I think he's got 358 00:18:46,800 --> 00:18:49,720 Speaker 1: a fairly low threshold for excitement, so you can pretty 359 00:18:49,760 --> 00:18:51,439 Speaker 1: much ask anything and it'll just go off like a 360 00:18:51,480 --> 00:18:56,119 Speaker 1: frog and a sock. Send it on through via LinkedIn, Facebook, Instagram, 361 00:18:56,240 --> 00:18:59,080 Speaker 1: Fearangreed dot com. Today you any of the above. Thank you, Sean, 362 00:18:59,359 --> 00:19:01,920 Speaker 1: Thank you Michael. It's Friday, the fourth of October twenty 363 00:19:01,920 --> 00:19:04,440 Speaker 1: twenty four. Make sure you're following the podcast and join 364 00:19:04,560 --> 00:19:08,200 Speaker 1: us online on LinkedIn, Instagram, ex TikTok and Facebook. Michael 365 00:19:08,240 --> 00:19:12,600 Speaker 1: Thompson and that was Fear and Greed. Have a great day.