1 00:00:00,160 --> 00:00:02,520 Speaker 1: Good morning and welcome to the last day of the 2 00:00:02,560 --> 00:00:05,200 Speaker 1: working week. If you're on the ACT, today is the 3 00:00:05,280 --> 00:00:08,840 Speaker 1: day that lockdown ends, so very exciting news for our 4 00:00:08,920 --> 00:00:13,240 Speaker 1: listeners over there. In other COVID news in Victoria, unfortunately 5 00:00:13,480 --> 00:00:16,560 Speaker 1: not good news yesterday, with twenty two hundred and ninety 6 00:00:16,560 --> 00:00:19,360 Speaker 1: seven new cases recorded. There were four hundred and six 7 00:00:19,480 --> 00:00:22,840 Speaker 1: in New South Wales and forty six in the Act. 8 00:00:23,000 --> 00:00:26,120 Speaker 2: We're going to start today with some economic news. Australia's 9 00:00:26,160 --> 00:00:28,760 Speaker 2: unemployment rate has increased for the first time in a 10 00:00:28,880 --> 00:00:31,600 Speaker 2: year zero point one percentage points, so not too much 11 00:00:31,680 --> 00:00:35,040 Speaker 2: to panic about, and now sits at four point six percent. 12 00:00:35,200 --> 00:00:38,279 Speaker 2: This comes after New South Wales, Victoria and the ACT 13 00:00:38,520 --> 00:00:41,480 Speaker 2: have all been in extended lockdowns over the past few months, 14 00:00:41,479 --> 00:00:43,120 Speaker 2: and we know this tends to have a bit of 15 00:00:43,120 --> 00:00:44,840 Speaker 2: a lagging effect on employment. 16 00:00:45,159 --> 00:00:48,519 Speaker 1: Channel nine is reporting that New South Wales Premier Dominique 17 00:00:48,560 --> 00:00:51,840 Speaker 1: Perrete will today announce that residents of Greater Sydney won't 18 00:00:51,880 --> 00:00:54,880 Speaker 1: be able to travel to regional New South Wales plunce 19 00:00:54,920 --> 00:00:57,920 Speaker 1: the state reaches the eighty percent double dose rate. So 20 00:00:58,200 --> 00:01:01,360 Speaker 1: this was in the government's eighty percent roadmap. We understood 21 00:01:01,360 --> 00:01:03,440 Speaker 1: that this would happen when the state hit eighty percent. 22 00:01:03,840 --> 00:01:06,399 Speaker 1: That's likely to come in the coming days, but we 23 00:01:06,440 --> 00:01:09,040 Speaker 1: do understand that regional travel will be delayed by at 24 00:01:09,120 --> 00:01:10,319 Speaker 1: least a week. 25 00:01:10,319 --> 00:01:13,880 Speaker 2: Two Overseas news now and social security benefits in America 26 00:01:14,000 --> 00:01:16,840 Speaker 2: will increase by five point nine percent in twenty twenty two, 27 00:01:16,880 --> 00:01:20,120 Speaker 2: and this is the biggest increase in nearly forty years. 28 00:01:20,680 --> 00:01:23,759 Speaker 2: The boost will help millions of retired Americans pay their 29 00:01:23,800 --> 00:01:27,160 Speaker 2: bills and is in response to fast rising consumer prices 30 00:01:27,240 --> 00:01:29,840 Speaker 2: that's making the cost of living rise substantially. 31 00:01:30,319 --> 00:01:33,399 Speaker 1: Today's good news, of course, is that the Act will 32 00:01:33,400 --> 00:01:36,280 Speaker 1: come out of lockdown today after two months under Stay 33 00:01:36,280 --> 00:01:39,800 Speaker 1: at Home Orders Act. Chief Minister Andrew Barr had this 34 00:01:39,880 --> 00:01:42,520 Speaker 1: to say about coming out of lockdown yesterday. 35 00:01:43,319 --> 00:01:47,280 Speaker 3: In a little over twelve hours, the Act lockdown will end. 36 00:01:47,920 --> 00:01:51,160 Speaker 3: This does not mean the end of COVID risk though, 37 00:01:51,440 --> 00:01:54,760 Speaker 3: and that's why the first step out of lockdown will 38 00:01:54,800 --> 00:01:57,600 Speaker 3: be a gentle and measured step forward. 39 00:02:02,480 --> 00:02:05,440 Speaker 2: I'm joined today by Maddian Sophie from Your In Good Company, 40 00:02:05,480 --> 00:02:08,680 Speaker 2: part of Australia's leading finance podcast network. They're coming on 41 00:02:08,760 --> 00:02:11,560 Speaker 2: every fortnight to try and break down some of the 42 00:02:11,560 --> 00:02:16,120 Speaker 2: tricky financial ideas Madi and sof you have survived an earthquake, 43 00:02:16,520 --> 00:02:19,920 Speaker 2: There's been a lot happening down there in Melbourne. What 44 00:02:20,120 --> 00:02:22,320 Speaker 2: is making headlines this week in the world of finance. 45 00:02:22,480 --> 00:02:25,800 Speaker 4: A big topic at the moment is this world energy 46 00:02:25,880 --> 00:02:29,360 Speaker 4: crisis that is hitting headlines. So there are concerns that 47 00:02:29,360 --> 00:02:32,240 Speaker 4: there is not enough supply of natural resources for us 48 00:02:32,280 --> 00:02:35,919 Speaker 4: basically just to go about our daily lives. And we're 49 00:02:35,960 --> 00:02:39,600 Speaker 4: sort of seeing this unfold into really key areas, that 50 00:02:39,720 --> 00:02:41,919 Speaker 4: being Europe and China. 51 00:02:42,000 --> 00:02:44,160 Speaker 2: So are we talking here about the shortage of things 52 00:02:44,200 --> 00:02:46,960 Speaker 2: like petrol or is it more the minerals that we 53 00:02:47,000 --> 00:02:48,720 Speaker 2: don't interact with ourselves. 54 00:02:48,960 --> 00:02:53,080 Speaker 5: Yeah, we're really talking mainly about things like oil and gas. 55 00:02:53,320 --> 00:02:57,000 Speaker 5: So over in Europe there has been some issues with 56 00:02:57,080 --> 00:03:00,440 Speaker 5: sourcing gas at the minute because there's some speculative that 57 00:03:00,520 --> 00:03:03,400 Speaker 5: say that Russia is cutting off some of their gas supplies. 58 00:03:03,560 --> 00:03:06,040 Speaker 5: And it's also things like coal. So in China there 59 00:03:06,080 --> 00:03:08,520 Speaker 5: has been limited coal production as they're trying to meet 60 00:03:08,600 --> 00:03:11,760 Speaker 5: emissions targets, but also because of the major flooding that's 61 00:03:11,760 --> 00:03:13,960 Speaker 5: actually happening at the moment in China. It's happening in 62 00:03:13,960 --> 00:03:17,200 Speaker 5: one of their main coal producing provinces. 63 00:03:16,840 --> 00:03:19,200 Speaker 2: And is that having any impact on the Australian market. 64 00:03:19,400 --> 00:03:21,840 Speaker 4: In the past week or so, we have seen share 65 00:03:21,880 --> 00:03:24,840 Speaker 4: markets climb that was brought on by high demand experienced 66 00:03:24,880 --> 00:03:29,560 Speaker 4: by energy companies such as Woodside sandtoss AGL Energy. But 67 00:03:29,840 --> 00:03:33,680 Speaker 4: I guess what happens when demand is outstripping supply, as 68 00:03:33,760 --> 00:03:37,280 Speaker 4: is the case at the moment, higher prices will begin 69 00:03:37,360 --> 00:03:39,400 Speaker 4: to be passed on to consumers and this will have 70 00:03:39,440 --> 00:03:43,320 Speaker 4: negative impacts on share markets as economies, as companies will 71 00:03:43,320 --> 00:03:46,040 Speaker 4: have to pay more for their energy supplies and then 72 00:03:46,120 --> 00:03:49,080 Speaker 4: consumers will flow on effect from that have sort of 73 00:03:49,160 --> 00:03:50,440 Speaker 4: less disposable income. 74 00:03:51,360 --> 00:03:54,440 Speaker 2: Guys, did we see this coming? Was this something that 75 00:03:54,520 --> 00:03:56,600 Speaker 2: was in the pipeline for lack of a better phrase, 76 00:03:56,680 --> 00:03:58,840 Speaker 2: for the last couple of years, or has this kind 77 00:03:58,880 --> 00:04:01,280 Speaker 2: of snuck up on everyone and all of a sudden 78 00:04:01,280 --> 00:04:02,200 Speaker 2: we've run out of oil. 79 00:04:02,320 --> 00:04:04,600 Speaker 5: It's ironic because at the moment there's actually we're leading 80 00:04:04,680 --> 00:04:07,760 Speaker 5: up to the twenty twenty one UN Climate Change Conference, 81 00:04:07,800 --> 00:04:09,160 Speaker 5: and I think it's just one of those things that 82 00:04:09,200 --> 00:04:12,720 Speaker 5: it's people are pushing for renewable energy, so you know, 83 00:04:12,840 --> 00:04:16,240 Speaker 5: all of these resources are finite resources. All the big 84 00:04:16,279 --> 00:04:19,280 Speaker 5: fossil fuels, but it is definitely a side effect of 85 00:04:19,360 --> 00:04:23,120 Speaker 5: COVID because things are opening up quickly and unfortunately the 86 00:04:23,279 --> 00:04:25,200 Speaker 5: demand is rising faster than the supply. 87 00:04:26,120 --> 00:04:27,599 Speaker 2: There's been a lot of chat in the news this 88 00:04:27,640 --> 00:04:31,360 Speaker 2: week about Australia leading the way in renewables, and obviously 89 00:04:31,400 --> 00:04:33,880 Speaker 2: we're still waiting to hear from the government as to 90 00:04:34,040 --> 00:04:37,880 Speaker 2: what exactly our climate policy is. Has there been a 91 00:04:37,880 --> 00:04:41,160 Speaker 2: big push from the private sector to establish Australia as 92 00:04:41,200 --> 00:04:42,720 Speaker 2: this hub of renewables. 93 00:04:43,040 --> 00:04:46,279 Speaker 5: Yeah, there's actually been a huge push from the private sector, 94 00:04:46,360 --> 00:04:49,080 Speaker 5: especially from one of the co founders of Atlasian. He's 95 00:04:49,120 --> 00:04:52,240 Speaker 5: come through and said that we need to be moving 96 00:04:52,240 --> 00:04:55,040 Speaker 5: into this renewable space and we can't miss this opportunity 97 00:04:55,080 --> 00:04:57,920 Speaker 5: to do so. So he's saying things like Australia can 98 00:04:57,960 --> 00:05:01,760 Speaker 5: benefit through our energy export exporting things like solar, by 99 00:05:01,800 --> 00:05:05,480 Speaker 5: also creating clean energy supply chains because Australia really has 100 00:05:05,520 --> 00:05:08,360 Speaker 5: a role in many of the natural minerals that future 101 00:05:08,440 --> 00:05:12,920 Speaker 5: energy sources need, including things like copper nickel and battery 102 00:05:13,000 --> 00:05:17,839 Speaker 5: materials such as copper nickel and lithium. So companies like 103 00:05:17,880 --> 00:05:20,200 Speaker 5: BHP for example, are really looking into that space at 104 00:05:20,240 --> 00:05:20,599 Speaker 5: the moment. 105 00:05:20,839 --> 00:05:24,720 Speaker 2: Onto more short term news and I have certainly injected 106 00:05:24,760 --> 00:05:27,159 Speaker 2: some cash into the local economy here in Sydney in 107 00:05:27,160 --> 00:05:30,320 Speaker 2: the last few nights. Have we had any information about 108 00:05:30,520 --> 00:05:33,160 Speaker 2: New South Wales opening up and any economic impact that 109 00:05:33,160 --> 00:05:33,640 Speaker 2: that's had. 110 00:05:33,880 --> 00:05:36,840 Speaker 4: New South Wales is well and truly back in business, 111 00:05:36,839 --> 00:05:40,400 Speaker 4: it seems with all this Freedom Day spendings. On Monday, 112 00:05:40,520 --> 00:05:43,240 Speaker 4: we actually saw twelve point eight million dollars spent in 113 00:05:43,279 --> 00:05:47,160 Speaker 4: a twenty four hour period on restaurants, pubs and bars alone. 114 00:05:47,200 --> 00:05:49,320 Speaker 4: So I was going to ask Sam, how much did 115 00:05:49,320 --> 00:05:51,800 Speaker 4: you contribute to that, because that's up from one million 116 00:05:51,800 --> 00:05:53,040 Speaker 4: at the same time last week. 117 00:05:53,320 --> 00:05:56,240 Speaker 2: It was a special Monday, it was not the usual Monday. 118 00:05:56,279 --> 00:05:58,520 Speaker 2: The lines out the door were not that of a 119 00:05:58,600 --> 00:05:59,280 Speaker 2: usual Monday. 120 00:05:59,480 --> 00:06:02,800 Speaker 4: Well, the biggest winner has actually been at retail, where 121 00:06:02,920 --> 00:06:05,560 Speaker 4: one hundred million dollars was spent on Monday, up from 122 00:06:05,600 --> 00:06:08,080 Speaker 4: around thirty five million the week before. So I guess 123 00:06:08,120 --> 00:06:11,760 Speaker 4: bigger picture, consumer spending is the total amount of money 124 00:06:11,800 --> 00:06:15,880 Speaker 4: spent on goods and services by individuals or households, and 125 00:06:15,920 --> 00:06:18,919 Speaker 4: thanks to COVID for obvious reasons, this sort of dropped 126 00:06:19,000 --> 00:06:21,640 Speaker 4: dramatically through you know, having less options of how we 127 00:06:21,680 --> 00:06:24,919 Speaker 4: can actually spend money, but also people actively cutting back. 128 00:06:25,480 --> 00:06:28,480 Speaker 4: But in July, the flow and effect of that was 129 00:06:28,800 --> 00:06:31,480 Speaker 4: that the average level of household savings is actually the 130 00:06:31,560 --> 00:06:34,480 Speaker 4: highest it's been in a very long time, also helped 131 00:06:34,480 --> 00:06:37,440 Speaker 4: by things like job keeper and job seeker. Flow on 132 00:06:37,480 --> 00:06:40,360 Speaker 4: effect on the economy I guess is that if consumers 133 00:06:40,440 --> 00:06:43,680 Speaker 4: have more money to spend, they put that money into businesses. 134 00:06:43,760 --> 00:06:47,039 Speaker 4: Businesses are able to post better sales, better profits, which 135 00:06:47,080 --> 00:06:50,360 Speaker 4: flows on very nicely into the share market. So all 136 00:06:50,440 --> 00:06:54,440 Speaker 4: eyes on Victorian vaccination rates and our upcoming reopening, hopefully 137 00:06:54,440 --> 00:06:55,320 Speaker 4: not too far away. 138 00:06:55,680 --> 00:06:57,839 Speaker 2: One last thing I wanted to ask you guys about 139 00:06:57,960 --> 00:07:00,760 Speaker 2: before I let you have a weekend. We heard news 140 00:07:00,760 --> 00:07:02,880 Speaker 2: this week that there's going to be another budget airline, 141 00:07:03,040 --> 00:07:07,200 Speaker 2: Bonsa is going to be a competitor to Virgin and Jetstar. 142 00:07:08,279 --> 00:07:10,600 Speaker 2: Do we really care about this story? Is this something 143 00:07:10,600 --> 00:07:12,560 Speaker 2: that we should sit up and take notice of or 144 00:07:13,520 --> 00:07:15,640 Speaker 2: can we let this one fly by? 145 00:07:16,040 --> 00:07:18,880 Speaker 5: Good fun there? So, I guess this one is just 146 00:07:19,120 --> 00:07:22,280 Speaker 5: very odd timing from my perspective. I guess that a 147 00:07:22,280 --> 00:07:24,400 Speaker 5: lot of the big airlines have really suffered this year. 148 00:07:24,440 --> 00:07:26,760 Speaker 5: We saw a lot happening with Virgin and last year. Sorry, 149 00:07:26,760 --> 00:07:28,960 Speaker 5: but we saw a lot happening with Virgin and also 150 00:07:28,960 --> 00:07:31,640 Speaker 5: with Quantus standing down a lot of people and posting 151 00:07:32,040 --> 00:07:36,040 Speaker 5: massive losses. So it is odd timing and I do 152 00:07:36,240 --> 00:07:39,520 Speaker 5: I wonder whether the Australian consumer will go to a 153 00:07:39,560 --> 00:07:43,040 Speaker 5: new airline rather than supporting the other backed USI businesses. 154 00:07:43,400 --> 00:07:47,640 Speaker 5: But on the same token, if there's cheaper flights, maybe 155 00:07:47,640 --> 00:07:50,720 Speaker 5: that's something that will entice people to go with Bonser instead. 156 00:07:51,160 --> 00:07:53,240 Speaker 5: But it'll be one to watch because they did say 157 00:07:53,320 --> 00:07:55,680 Speaker 5: that they are not looking to go into the major 158 00:07:55,720 --> 00:07:58,960 Speaker 5: city straight away but instead look at more regional flights. 159 00:07:59,200 --> 00:08:02,840 Speaker 2: Madiam, So You're in good company. Have a wonderful weekend. Guys. 160 00:08:02,840 --> 00:08:05,240 Speaker 2: You can check out You're in Good Company on Instagram 161 00:08:05,320 --> 00:08:07,640 Speaker 2: and have a listen to their podcast. They have a 162 00:08:07,800 --> 00:08:10,680 Speaker 2: really awesome guest on the pod coming up next week. 163 00:08:11,040 --> 00:08:13,360 Speaker 2: Have a great weekend from the Daily OS as well. 164 00:08:13,520 --> 00:08:15,000 Speaker 4: Thanks am, Happy Friday.