October 3, 2025 • 35 mins
House prices, interest rates, companies not paying tax, and a massive week for Donald Trump. Sean Aylmer and Michael Thompson go head to head on the top business stories of the week, with Adam Lang picking a winner in a fierce debate.
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Speaker 1 (00:06):
This is the weekend edition of Fear and Greed business
news you can use. I'm Michael Thompson and good morning
Sean Aylmer.
Speaker 2 (00:12):
Good morning, Michael, Sean.
Speaker 1 (00:15):
Our weekend show is all about the two of us,
each nominated what we think is the biggest business story
of the week, the most remarkable business story, a mystery category.
We changed that one every week just to keep things
very exciting, and then our favorite business related story. It
is a competition. It is a fierce debate, and there
(00:35):
must be a winner. We don't want to have a
draw or anything like that, anything dull. We want a winner.
We need a judge to pick a winner, a judge
with a backbone to pick a winner that judges our
Fear and Greed colleague Adam Laying Adam, good morning.
Speaker 3 (00:50):
Good morning Michael, and good morning Sean.
Speaker 2 (00:52):
Good morning.
Speaker 3 (00:52):
Adam.
Speaker 2 (00:53):
Going to be as generous as ever this week?
Speaker 4 (00:55):
I think so, But you never know something, some thing
might tick me off.
Speaker 5 (01:02):
You know what would take off Adam. This is a
really good question because Adam is for people who know Adam.
He is convivial at all times. He's just a nice guy.
And I would like to find something we will have
to get a Lara for this one, because I'm sure
(01:22):
she doesn't thinks Lara being Adams, what we.
Speaker 3 (01:26):
Need to go personal?
Speaker 1 (01:27):
You know what I think. I think Adam would only
Marcus down or would really get ticked off on matters
of subjective bias, because there's one of the criteria that
you do look for, because economic impact, a few other
things that I've forgotten, but also subjective bias is up
there as well, And I reckon if you don't nail
(01:50):
a subjective bias, then that ticks him off. An opportunity missed,
Like if you were to declare that you know what's
awful tax reform, I hate reform. Then all of a
sudden you see the little twitch in Adam's eyebrow and
you know you're getting marked down. That is him ticked off,
and you don't want to see that. What else are
we looking for, Adam, Economic impact, melodrama.
Speaker 4 (02:11):
Subjective topicality, and timeliness. Of course, we want to be
relevant for the audience. Economic impact is a big one
for this show. Subjective bias, and of course melodrama.
Speaker 1 (02:23):
Okay, we can do that. Sean biggest story of the week,
What was it only one?
Speaker 3 (02:28):
This week.
Speaker 2 (02:30):
Do I need to even inform you on what it was?
Speaker 1 (02:34):
Look it all help short? Maybe that's maybe that's the
key to getting the show a bit shorter. Just not
actually share the stories.
Speaker 2 (02:43):
No, what is it?
Speaker 1 (02:44):
Oh?
Speaker 5 (02:44):
House prices don't know when to give up. September delivered
the strongest monthly rise in national dwelling values since October
twenty twenty three. According to the Totality House Value Index,
it jumped zero point eight percent and momentum is picking up.
During the September quarter, the index was up two point
two percent, and the Dune quarter was one point five percent.
(03:06):
March quarter one point one percent. So, Adam, you are
a genius when it comes to mathematics and economics. You'll
understand one point one twice is two point two, therefore
double the pace of growth in six months. In dollar terms,
the September quarter rise was equivalent to about an eighteen
thousand dollars increase in the median dwelling value. Very broad
based of growth, every capital city and the rest of
(03:28):
state region recording an increase in dwelling values over the
month the quarter. In the most recent twelve month period.
That being said, some divergence in the pace of growth
is once again emerging. Perth and Brisbane are added again,
pulling ahead of the larger capitals, with values up four
percent three and a half percent respectively through the September quarter.
(03:48):
The pace of gains are being led by the unit market.
There Darwin's showing even stronger run of growth, values jumping
almost six percent. Why is this happening? Lack of new
stock on the market, lower interest rates, government first home
buyer scheme in Reserve Bank Governor Michelle Bullok this week
said rates for impacting house prices sooner than expected given.
Speaker 2 (04:08):
The third third third rule.
Speaker 5 (04:10):
To me, the third third rule is anyone.
Speaker 1 (04:15):
It's the rule of the three thirds, where you have
the thirds that all add up to make one full hole.
Speaker 2 (04:23):
That's it. That's it.
Speaker 5 (04:24):
There we go, well done. Otherwise that as third of
the people own their own home, a third of the
people rent, and a third of the people are buying
their heart So, given we've got house prices going up,
people owning their own home delighted. People buying their own home, well,
they're probably pretty happy. To people renting not so happy.
That puts pressure on rents. They might want to buy tough.
(04:47):
Point of this is everyone that lives in a house
is affected by this story, Adam, and apart from maybe
a dozen people that we know, that's everyone, Michael.
Speaker 1 (04:59):
That is one of my favorite rules.
Speaker 2 (05:00):
That rule.
Speaker 1 (05:05):
Yeah, I live by that. My biggest story this week,
Sean and Adam, is all about Trump, right, God's sake,
come on, Well, okay, I wouldn't normally do this for
the bigger story of the week, but it has been
a heck of a week for the US President. He
(05:28):
has ricocheted from berating his generals to floating a Middle
East peace plan to triggering more global trade tensions with
more tariffs. It's it's actually staggering. It is so big.
Speaker 5 (05:45):
I mean, what you really got to ask you, Adam,
right up front, is what's so different about this week
compared to last week and the week before and the
week before that.
Speaker 1 (05:54):
It's because this week is bigger, Right, this week? This week, okay,
very quickly, only through it, very very quickly. He unveiled
a twenty one point plan to end the war in Gaza, boasting,
and he said, we have a real chance for greatness
in the Middle East. The plan would eventually see a
Board of Peace headed up by well Trump himself also
(06:16):
overseen by former UK Prime Minister Tony Blair. So that's Gaza.
Then economic chaos one hundred percent tariffs being slapped on
drug imports, hammering companies like CSL side effects Australian companies. Well,
it doesn't really necessarily affect these Australian companies, but the
uncertainty because if you've got any kind of processing manufacturing
(06:36):
capacity in the US then you are technically exempt. But hey,
it is that confusing. Hollywood was hit to by a
separate wave of tariffs foreign films, including movies made here
in Australia, because Adam, we are in fact foreign to
the United States, probably didn't need to point that out.
They are being targeted as well. On top of that,
then we've got the US government shutdown, which is Trump's
(06:58):
third hundreds of thousands of workers stood down. Talk of
Trump using this for retribution, shutting down department, permanently, sacking
Democrats and causing as he called it, irreversible change. Then
then then if that wasn't enough, he and Defense Secretary
Pete Hegsath stood up in front of every general in the.
Speaker 2 (07:20):
This is the highlight. This has to be the highlight.
Speaker 1 (07:22):
Stood up in front of every general in the United
States military, and attacked woke culture, attacked soldiers with beards,
attacked fat generals in the Pentagon, and more, tell them how.
Speaker 2 (07:36):
Hopeless they've been in the last fifty years since World
War Two.
Speaker 1 (07:40):
And about how this is going to change now, and
just the looks on their faces. Just if looks could
kill goodness. Maybe there was just stony faces everywhere. Then
to finish the week, the President declared war on drug cartels.
Every week with the US president is a big week,
but this week was more pure Trump than I think
(08:03):
we've ever seen. We had part showman, part chaos agent,
part deal maker, just completely extraordinary and combined to make
the biggest story of the week, which is one complete
story and not at all an omnibus story.
Speaker 4 (08:25):
So I'm going to go with the vibe on this one.
Speaker 3 (08:29):
So my vibe was this Trump. Eh. And then house prices,
Oh my god, not again.
Speaker 4 (08:37):
So Sean wins, and it takes me back to sort
of twenty five years ago, right when Lara and I
were saving for our first house and we couldn't keep
up with the market. Our little twenty percent deposit couldn't
keep up with the market.
Speaker 3 (08:50):
It was going so.
Speaker 4 (08:51):
Fast, and I think that is what another generation of
home buyers are looking at now.
Speaker 3 (08:56):
It's so so difficult.
Speaker 4 (08:59):
So I think that is actually more material to the
economy of Australia than, unbelievably almost all of the Trump
events of the week, which were incredible. I just wonder
whether Trump would have passed his own military standards. You know,
when you look at him, excellent question, you know, if
he was to look in the world.
Speaker 5 (09:19):
Adams as Adam Adam Adam takes cast your mind back
a couple of months ago when the president's physician wrote
that not only was Donald Trump in excellent health, he
was also playing golf. And not only was he playing golf,
he was winning the golf tournaments.
Speaker 2 (09:40):
That's how healthy he.
Speaker 4 (09:41):
Was worth noting for a doctor. And JD.
Speaker 1 (09:45):
Vance has a beard Vice President, which I just find
the most staggering hypocrisy, right, asking the generals to be
clean shaven, and that the vice president, who would be
the commander in chief if anything happened to Donald Trump,
is a bearded fellow. I don't know that.
Speaker 3 (10:06):
All those generals goll it.
Speaker 2 (10:11):
Shall we move on?
Speaker 1 (10:12):
I think we must. The judging.
Speaker 2 (10:17):
Neil Michael, the remarkable story.
Speaker 1 (10:21):
No sucking up, no sucking up. And I don't know.
I don't know what your backgrounds are. I don't know
either of the two of you. I don't know what
your work background is or what you're interested in. But
what the heck is going on in Australian media? Huh?
How about this one? I'm not playing for subjective bias here.
This has been a week of huge moves, right seven
(10:44):
West Media merging or planning to merge with Southern Cross Media,
creating a new TV and radio powerhouse, combining combining the
Seven Network and newspapers like The West Australian with radio
network ex Triple amb and the Hit Network. It is
going to be a media giant, like a kind of giant.
(11:07):
It's still worth only a kind of giant. It's a
relatively average height giant. Still worth only four hundred and
fifteen million dollars, which is extraordinary when you think about it. Right,
the Seven West Media alone was worth three billion dollars
when it went public in twenty eleven. Now the value
of this merged company would be four hundred and fifteen
(11:30):
million dollars. And it says a lot about the fate
of the free toware TV networks across that time, which
is just extraor that is remarkable at the time, and
if it's Michael at the same time, at the same
time this week, because that wasn't enough big media moves
(11:52):
in one week, we've got arn Media, owner of Kiss
and Pure Gold, announcing the end of an era, with
veteran c Kieran Davis stepping down after sixteen years. He
oversaw the tremendous success that was Kyle and Jackie O
coming across from Today FM to Kiss more than a
(12:13):
decade ago, but also then the unsuccessful push into Melbourne
for that same show after signing a new two hundred
million dollar contract with the duo. It has been an
epic week, an unforgettable week, a week that will forever
change the Australian media landscape, unable to be overstated here.
And then at the same time we've got nine looking
(12:34):
to offload it's radio stations like two GB and three AW.
More changes to come, but this week will be a
week forever marked in the Australian media calendar. We will
be talking about this for decades.
Speaker 2 (12:47):
Have you used the word remarkable yet?
Speaker 1 (12:49):
It is remarkable? I know, so do we agree.
Speaker 2 (12:55):
I don't even think you'll try. Like I'm just reckon.
I don't know what to do. I'm going subjective, off
we go. You know what.
Speaker 1 (13:02):
I don't know what to do anymore. So for me,
it's just all about subjective bias with a little bit
of melodrama and the rest of it. Can go and
get stuffed.
Speaker 5 (13:09):
But go and get stuffed. There was a remarkable story,
though it came late in the week, the Michael.
Speaker 1 (13:16):
I know, I just did it. What else?
Speaker 5 (13:20):
Just how little overseas companies paying tax and how much
the ossie companies pay. Now we've got the list of
the top tax paying corporates. The winner the three big
miners Rio six point six billion dollars than the twenty
twenty four financial year, bach Boy six billion dollars, four
SCU Medals four billion dollars. The big four banks led
(13:44):
by Comwealth Bank ten billion dollars combined. Excellent. Some companies optists.
Virgin Australia says l zero zipo nothing personal favorite, of course,
Australian insurance owner of NRMA paid nine dollars tax. You
(14:05):
didn't miss here that nine dollars. AMP TPG Transurban Dominos
paid zero. Now it's okay to pay zero tax because
you may have a lot of you may not be
making any money. If you're not making any money, therefore
you lose money and therefore you don't have to pay
tax on it. You may carry forward tax losses as well.
But what's really what's really remarkable is that more than
(14:26):
half the corporate tax take is mining and energy companies.
What's even more remarkable still to this day, is how
little the big global tech players, the US global tech players,
primarily how much they don't pay tax. Microsoft, Google, Facebook,
Apple and Amazon combined six hundred and fifty million dollars
(14:47):
in tax for their Australian operations. Their revenue, I'm guessing
I don't know it, their revenue would been the tens
of billions of dollars six hundred and fifty million in tax.
Netflix no tax on one point two billion dollars. Tesla
paid twenty seven million dollars in tax. I mean you
almost have to say we'll get on your Tesla because
(15:09):
that's actually kind.
Speaker 3 (15:10):
Of relatively generous.
Speaker 5 (15:12):
Yeah, but it's it's outrageous. Now the ATI knows none
of this passes the pub test because it actually put
a statement outset it continues to pay close attention to
these taxpayers to ensure they are paying the right amount
of tax and that losses are not created through contrived schemes.
Speaker 2 (15:29):
Really, these big.
Speaker 5 (15:30):
Text giants are making so much money out of Australia
and that's all the tax they're paying, while BHP and
RE are paying six billion dollars plus four to skew
you know, six billion dollars, sorry, four billion dollars the
big banks combined ten billion dollars. It ain't fair, Adam,
it ain't fair, and it is truly remarkable over a year.
Speaker 4 (15:51):
Yes, subjective bias on both of these stories tax good point,
it's a bit of it.
Speaker 3 (16:00):
In my head. Sean has to win.
Speaker 5 (16:07):
Michael's face, he knew he had no chance. But then you,
when you started with subjective bias, you just saw his
eyes lift slightly, no flicker of hope.
Speaker 3 (16:17):
No, what did you call me a flicker? Okay?
Speaker 1 (16:22):
No, See, the thing was what I have identified here.
There is subjective bias, and it's biased against me.
Speaker 5 (16:30):
Right.
Speaker 1 (16:31):
It is the fact that now there are two categories
that I should have won, and I have one neither.
So therefore I can assume there's something to do with
the stories, but more to do with the person making
the argument anyway, just.
Speaker 4 (16:43):
So the audience knows, you know, when I make it
such that Michael loses, that's not me provoking more melodrama.
That's him legitimately reacting.
Speaker 2 (16:52):
Coming up.
Speaker 5 (16:53):
And Michael has gotten more and more competitive over the years.
Now the last coupent, well, I reckon, He's probably won
two out of the last three weeks since I've been back,
maybe three, the last.
Speaker 3 (17:03):
Couple of wins.
Speaker 2 (17:04):
And so yeah, so he gets quite feisty when he loses.
Speaker 1 (17:07):
Now only when I feel like only when I feel
like justice has not been done right, because I'm here,
I'm not I'm not doing this for me. I'm not
representing me. I'm representing the people, which we've established.
Speaker 2 (17:22):
Before, like a breaken record, isn't.
Speaker 1 (17:24):
The man of the people, right, And so when you
rule against me, you're really against Australia. You're ruling against
common sense and decency. And Trump is your main story
of the people, well, because is he not the man
of many American people?
Speaker 5 (17:41):
Right? Yes?
Speaker 1 (17:42):
And did not get elected in a landslide anyway, Adam,
take it away, continue your bias. We can take it
the people and I are strong.
Speaker 4 (17:53):
Good, So we're going to go into mystery category.
Speaker 1 (17:56):
Sorry you finished.
Speaker 4 (18:00):
Look, I don't know that I could say much more
that will be helpful.
Speaker 1 (18:04):
No, that's fine, we'll take it. We'll take a break. Sorry,
I got caught up and forgot what we're up to.
We'll take a quick break back in a moment, Sean.
We are now moving on to our mystery category, which
changes every week. And Adam, you might have noticed that
(18:26):
when we did the Biggest Story of the week, when
he made a flawed judgment, that you were essentially deciding
between two stories that would perhaps not normally be in
the Biggest Story category.
Speaker 5 (18:38):
That there was something mine mine would have, Mine would
have yours probably wouldn't have.
Speaker 1 (18:46):
Just b s Oh, it feels like we're back now, right,
it feels like we're back where I'm now in my
old familiar terrain of being picked on by the two
of you. The category this week is the biggest story
about the economy, All right, okay, Adam, where we all know?
(19:08):
And I'm going to go first on this one, Sean,
if that's okay.
Speaker 2 (19:13):
Yeah, sure?
Speaker 5 (19:14):
Whatever is that they haven't made enough of the category,
Like that's what I'm disappointed in the category is right,
the economy. We had so much in the economy this week,
so the category is the economy and the bit that
we reckon.
Speaker 2 (19:28):
Adam will like most.
Speaker 1 (19:30):
So okay, well thank you for adding some some color.
Speaker 5 (19:33):
Yeahs you like most. Just the spark's gone out of
Bcael this morning about it.
Speaker 3 (19:45):
Spark.
Speaker 2 (19:45):
The spark is five and look at him, he's a mess.
Speaker 4 (19:49):
A spark and retribution all eyes.
Speaker 1 (19:52):
This week, Adam, we're on one place, just one building
in Martin Place.
Speaker 2 (20:00):
Where there lived out Just for the record, place became.
Speaker 1 (20:05):
Not there anything, and that's best. And it's going to
cost it one point two billion dollars.
Speaker 2 (20:09):
But let's get finicky about this.
Speaker 1 (20:12):
No, But I mean symbolically it is still a symbolic
It is.
Speaker 3 (20:15):
The heart rebuild, renovation.
Speaker 1 (20:17):
It is the heart of the economy right just there.
Speaker 5 (20:20):
Do you know what I kind of like about Martin Place?
People who don't know that area of sitting, so it's
often where a lot of the homeless food trucks land
at the end of the day.
Speaker 2 (20:29):
And I kind of think.
Speaker 5 (20:30):
There's sort of some nice symbolism more that know, the
Reserve Bank, the center of money is there in the
like the position. Well, it's not looking after people, but
the homeless trucks do a fantastic job. That food trucks
do a fantastic jobs for the poor homeless people. But
it's right outside the bank. Anyway, nothing to do with this,
(20:51):
go on, Michael.
Speaker 1 (20:52):
Anyway, The Preserve Bank this week did exactly what everybody
expected it was going to do. It did nothing. It
did nothing, Adam, It left the official cash rate.
Speaker 3 (21:02):
And this is your story.
Speaker 1 (21:04):
Wait, you are judging too early. As usual, usually you
just judge as soon as Sean has spoken without waiting
for me. I beg you this week to wait till
I've finished actually making my argument three point six percent.
What was a real eye opener was the commentary that
accompanied it, Governor Michelle Buller committing she was surprised that
(21:26):
the board was surprised, the Reserve Bank shocked and appalled
by just how sticky inflation is proving to be. I
might be, maybe what does that mean exaggerating it? Especially
in services. We've got growth and inflation data have been
hotter than the RBA forecast back in August, and that's
got everyone nervous, right, that are not coming down as
(21:52):
much as they expected them to do, and that they
had forecast that the decrease in inflation has not been
sustained to the level that they were expecting it to be.
It has got everybody nervous, made markets a bit twitchy,
and Sean as you did an admirable job this week
of explaining the importance of the three year bond rate
(22:13):
now at three point six percent, which is the same
as the official cash rate, suggesting that, as you pointed
out several times, that investors think rates will on average
hang around current levels for some time. Right, the next
big test lends on Melbourne Cup Day, which I find
unusual right that you know how now that they have
(22:34):
shifted the meetings that now we have eight meetings instead
of essentially one every month on the first Tuesday of
the month, that they still have one on Melbourne Cup Day,
which is probably the one where people are not yet
that if you're going to move any one, you would
move that one because that's the one where no one's
paying attention to what the Reserve Bank does. They're going
(22:54):
to have September quarter inflation data in hand for that one,
so that is going to be pivotal. But as far
as the econ we went this week. There was only
one story in Australia that is worth considering here, and
it was the RBA, and it was the decision that
they made to leave rats on hold. But the important,
the vital, the enormously significant commentary that went with it.
(23:16):
Nothing else matters, Sean, what else did you like?
Speaker 5 (23:22):
So they did nothing? I think you just said I did.
Speaker 1 (23:26):
I did, yes, yes, yeah.
Speaker 5 (23:28):
Now, I mean they've done it a few times in
recent months. I've got to say what they did do
this week though, which was part of her commentary, but
also this semi annual Financial Stability Report which came out
at the end of the week. They basically told us
that the cost of living crisis, the crisis part of
it was over. Pressures are easy and haven't we been
(23:52):
waiting for a long time for that? When Michelle Bullock
spoke after the interest right decision on Tuesday, when nothing happened,
and then she made it clear that inflation is lower,
there are interest rate cuts, the government Stage three tax
cuts are doing the trick. The number of inquiries to
the National Debt helpline stabilized over the past year. The
(24:15):
Central Bank and this is in the Stability report said
the number of mortgage holders in arrears, as in people
who are more than ninety days behind paying their home loans,
peaked twelve months ago and has been declining ever since.
It's now back to pre pandemic levels. The bottom quarter
of income earners with a mortgage have enough savings to
afford ten months repayments. The top quarter, so that Michael
(24:39):
bottom quarter ten months repayments, Adam top quarter, twenty months repayments.
The cost of living crisis, my friends, is disspeating. Doesn't
that word ruin it? It's about that, I mean, I
think it's kind of really marked a point in time
that we have had so much, such a challenge in
(25:01):
Australia making ends meet, and it's still tough, but we're
getting rate cuts, we're getting tax cuts, Inflation is lower,
and the Reserve Bank called it this week a damn.
Speaker 2 (25:13):
Skew over to you.
Speaker 4 (25:14):
God, this is hard so close Adam, what well both RBA,
you know, both really the same set of people talking
about information in the same week where technically nothing happened
on interest rates, but so much handringing and anguish in
(25:36):
the data.
Speaker 5 (25:39):
Oh, this is unfair on Adam, you know, because you
see his mind just exploding with sort of excitement about
two economic stories in one go, and it's like, oh,
how do I separate them?
Speaker 4 (25:52):
And all look, all the data show national debt helpline
calls going down.
Speaker 3 (25:57):
That is wonderful to hear.
Speaker 2 (26:00):
Yeah, it's really good, people.
Speaker 4 (26:01):
In lonerrears going down, having a bit more.
Speaker 2 (26:04):
Judging people judging people.
Speaker 4 (26:07):
Okay, but Sean, I have to give it to Michael
because the three year bond rate and.
Speaker 3 (26:15):
Three point six So I like to think I do.
Speaker 2 (26:19):
He doesn't. You might, but he doesn't.
Speaker 3 (26:22):
I absolutely do.
Speaker 1 (26:25):
Learned about it in some detail this week, and I
continue to now tell people randomly on the street about
I have not made many new friends this week and
the kids are really sick and tired of the bond
rat What.
Speaker 4 (26:43):
So Michael wins?
Speaker 5 (26:46):
So good call? Can I just put it this way
that the first category, there's no way in the world
I should have won that, and I did that. Last category,
there's no way the world Michael should have won that,
and he did so about even at the moment.
Speaker 2 (27:00):
Yeah, judges.
Speaker 1 (27:03):
Of judging remains appalling.
Speaker 2 (27:07):
V wades in that one.
Speaker 1 (27:09):
Let's which for contexts, right, because you have new listeners
now who aren't aware of this what years ago now.
Speaker 2 (27:17):
More than that, Yeah, I'm still holding onto it.
Speaker 1 (27:20):
When when Roe v. Wade was decision was leaked, Yeah,
in the US, it was a massive story, and Adam
you ruled against that as being the biggest story and
instead went for some story about like puppies or something.
Speaker 3 (27:36):
I got that quite wrong.
Speaker 5 (27:38):
The preponderance of labor doodles in the Sydney he that
one over v Wade as Maggie labor doodles sat by
his leak.
Speaker 1 (27:50):
And as a result, now you have been forced to
endure Sean constantly bringing that up every time there was
a judgment that to disagree with anyway, favorite story, Yeah,
you go first.
Speaker 5 (28:04):
On this one, right, my favorite story of the week.
Bye about I'm trying to find the details here in
front of me.
Speaker 2 (28:16):
I can't like.
Speaker 5 (28:17):
By about six hundred and twenty five meters is the
official opening of the world's highest bridge, Aijang Grand Canyon Bridge.
It basically landers from one mountain to the other. It
just to take two hours travel time to get from
one mountain to the other. It now it takes two minutes.
(28:38):
It's one and a half kilometer bridge made up of
ninety three segments, weighing twenty two thousand tons, nine times
higher than the Golden Gray Bridge Bridge in San Francisco,
twice the height of the Eiffel Tower. The Empire State
Building would well and truly fit under it. It's a
suspension bridge, two lanes of car traffic in each direction.
Also big tourist attraction if they visitors can take a
(29:01):
high speed glass elevated to a cafe built into the
top of one of the bridge's towers. Oh my god,
that would just kill me.
Speaker 2 (29:08):
They reckon. They'll do bungee jumping from it eventually.
Speaker 3 (29:11):
Oh.
Speaker 6 (29:12):
I love the fact that two months ago before they
opened to the public, a testing team drove ninety six
trucks onto designated points to test the bridge bridges structural integrity.
Speaker 2 (29:25):
What if that went wrong? Hey?
Speaker 3 (29:31):
Number ninety six on you go?
Speaker 5 (29:34):
So it is It is well worth checking out the videos.
They're all over the place because it is an incredible structure.
The now second highest bridge is actually just two hundred
kilometers up the road in China, and seven of the
world's biggest bridges. Well, no, these seven biggest bridges in
the world are in China. Three of them are in
that region. But those guys know how to build a bridge.
(29:56):
If you want a suspension bridge, you go to the Chinese,
no doubt about it. It is just a cracking story,
amazing feed of engineering that they can do that. The
video is fantastic for an audio medium like podcasting.
Speaker 2 (30:10):
Hm, no, it's not.
Speaker 1 (30:14):
The speed is the speed at which that was that
was like if that was if that was done in Australia,
it would have taken three decades, three years yea.
Speaker 5 (30:23):
And two hundred and eighty million dollars. So the province
that it covers is the one of the poorest provinces
in China and it cost them two hundred and eighty
million dollars to build. So you put that together and
you think, hmm me thinks they had some very cheap
labor on that, because I mean you would take it
to be billions of dollars to do something like that.
(30:44):
Just two hundred and eighty million dollars in three years,
that's how they got it, right, Yeah.
Speaker 1 (30:49):
Yeah, yeah, yeah. The video is quite incredible and it
is terrifying. Now, Adam, my favorite story. One of the
hottest defense stocks on the entire planet is home grown.
It is Australian Drone Shield Adam. Drone Shield surged around
(31:09):
fifty percent in just three days this week. Three days
fifty percent, right, Remember write that down because that is
pivotal to this whole story. Governments, particularly in Europe are
scrambling to counter this flood of cheap, deadly drones that
(31:29):
have become central to the modern battlefield. Denmark had a
scare this week with several drone incursions and leading the
way in defense. Here is Drone Shield, which I would
say is a friend of Fearing greed because we have
spoken to the founder and CEO. I'm not saying that we.
Speaker 2 (31:50):
Are anyone speak to as a friend.
Speaker 1 (31:53):
Yeah, that's right, and therefore wee can they claim to
some of the success as the company Because Drone Shield
uses senses to detect, identify, and then neutralize droned defense
spending around the world soaring, so too is drone Shield.
Its share price is up nearly five hundred percent this
(32:15):
year alone. I find that incredible and just one little
homegrown Aussie company. Great story, favorite story, arguably best story
of the entire week, and if it does not win,
it is going to be a travesty.
Speaker 4 (32:33):
Adam, He's gone off script with that one, but very
well done, Michael Sean. During the week, I had a
lot of feedback about your story about drone shield two
points where one where you debated, how do you describe
what drone shield does.
Speaker 1 (32:52):
Shields from shields drones.
Speaker 2 (32:54):
It's just a build stuff that shields stuff from stuff.
Speaker 4 (32:58):
And then two you're thinking about where the geese?
Speaker 2 (33:02):
Would I please you?
Speaker 5 (33:05):
Because you can spend a lot of money right on
drone shield, right and get all this defense stuff going,
why not just buy a bunch of geese send them
up just large birds generally, but geese is the example,
and just send them up with the drone.
Speaker 3 (33:16):
It's an unlaiden swallow.
Speaker 1 (33:18):
Or you don't necessarily need a small number of large geese.
You could have a very very large number of very
small birds, like if you were to, like, why percent
up ten geese when you could send up two thousands canaries?
Speaker 2 (33:33):
Right?
Speaker 1 (33:34):
Okay? And so you've got different birds for different budgets
because sparrow.
Speaker 4 (33:38):
Sacrifice any sort of bird you like, sparrows.
Speaker 1 (33:42):
Are doing cheap in this economy. Seriously, just get out
there by buy I don't know, a couple of crates
ten thousand Sparrows send them up. Job done. There we
go Sparrow Shield.
Speaker 4 (33:54):
Yeah, Adam, okay, thank you. Look difficult. But because it's
an Australian company done so well, Drone Shield.
Speaker 3 (34:06):
Has to win.
Speaker 5 (34:07):
That's just a dud, well played. That's decision, decision. God,
we're run over time today. You are carrying on, Michael
and Adam. Your judging has been started off hot, ended
up cold.
Speaker 2 (34:22):
It's just a debarkle.
Speaker 4 (34:26):
What about the point to yep, Sean ninety three points,
Michael ninety points.
Speaker 5 (34:33):
Well, we're both surprised on that. So we got two
all and I won by three points. This is the
show where Michael can win four nil and there's one
point different.
Speaker 2 (34:44):
Mathematically impossible, but you can do it.
Speaker 1 (34:48):
Yeah, defy all logic. Okay, good results, not really, but
it's a result, you know what. It's a result and
that's what we need because we can't finish without a result.
We are finally finish.
Speaker 3 (35:00):
Thank you very much, Adam, Thank you, Michael, thank you, Sean.
Speaker 2 (35:03):
Thanks Sean, thanks Michael, thank you Adam.
Speaker 1 (35:06):
Make sure you're following the podcast, and please head to
Fear and Greed dot com dot au to sign up
for our free daily newsletter. I'm Michael Thompson, and that
was fear and greed.
Speaker 3 (35:14):
Have a great weekend.
This is the weekend edition of Fear and Greed business
news you can use. I'm Michael Thompson and good morning
Sean Aylmer.
Speaker 2 (00:12):
Good morning, Michael, Sean.
Speaker 1 (00:15):
Our weekend show is all about the two of us,
each nominated what we think is the biggest business story
of the week, the most remarkable business story, a mystery category.
We changed that one every week just to keep things
very exciting, and then our favorite business related story. It
is a competition. It is a fierce debate, and there
(00:35):
must be a winner. We don't want to have a
draw or anything like that, anything dull. We want a winner.
We need a judge to pick a winner, a judge
with a backbone to pick a winner that judges our
Fear and Greed colleague Adam Laying Adam, good morning.
Speaker 3 (00:50):
Good morning Michael, and good morning Sean.
Speaker 2 (00:52):
Good morning.
Speaker 3 (00:52):
Adam.
Speaker 2 (00:53):
Going to be as generous as ever this week?
Speaker 4 (00:55):
I think so, But you never know something, some thing
might tick me off.
Speaker 5 (01:02):
You know what would take off Adam. This is a
really good question because Adam is for people who know Adam.
He is convivial at all times. He's just a nice guy.
And I would like to find something we will have
to get a Lara for this one, because I'm sure
(01:22):
she doesn't thinks Lara being Adams, what we.
Speaker 3 (01:26):
Need to go personal?
Speaker 1 (01:27):
You know what I think. I think Adam would only
Marcus down or would really get ticked off on matters
of subjective bias, because there's one of the criteria that
you do look for, because economic impact, a few other
things that I've forgotten, but also subjective bias is up
there as well, And I reckon if you don't nail
(01:50):
a subjective bias, then that ticks him off. An opportunity missed,
Like if you were to declare that you know what's
awful tax reform, I hate reform. Then all of a
sudden you see the little twitch in Adam's eyebrow and
you know you're getting marked down. That is him ticked off,
and you don't want to see that. What else are
we looking for, Adam, Economic impact, melodrama.
Speaker 4 (02:11):
Subjective topicality, and timeliness. Of course, we want to be
relevant for the audience. Economic impact is a big one
for this show. Subjective bias, and of course melodrama.
Speaker 1 (02:23):
Okay, we can do that. Sean biggest story of the week,
What was it only one?
Speaker 3 (02:28):
This week.
Speaker 2 (02:30):
Do I need to even inform you on what it was?
Speaker 1 (02:34):
Look it all help short? Maybe that's maybe that's the
key to getting the show a bit shorter. Just not
actually share the stories.
Speaker 2 (02:43):
No, what is it?
Speaker 1 (02:44):
Oh?
Speaker 5 (02:44):
House prices don't know when to give up. September delivered
the strongest monthly rise in national dwelling values since October
twenty twenty three. According to the Totality House Value Index,
it jumped zero point eight percent and momentum is picking up.
During the September quarter, the index was up two point
two percent, and the Dune quarter was one point five percent.
(03:06):
March quarter one point one percent. So, Adam, you are
a genius when it comes to mathematics and economics. You'll
understand one point one twice is two point two, therefore
double the pace of growth in six months. In dollar terms,
the September quarter rise was equivalent to about an eighteen
thousand dollars increase in the median dwelling value. Very broad
based of growth, every capital city and the rest of
(03:28):
state region recording an increase in dwelling values over the
month the quarter. In the most recent twelve month period.
That being said, some divergence in the pace of growth
is once again emerging. Perth and Brisbane are added again,
pulling ahead of the larger capitals, with values up four
percent three and a half percent respectively through the September quarter.
(03:48):
The pace of gains are being led by the unit market.
There Darwin's showing even stronger run of growth, values jumping
almost six percent. Why is this happening? Lack of new
stock on the market, lower interest rates, government first home
buyer scheme in Reserve Bank Governor Michelle Bullok this week
said rates for impacting house prices sooner than expected given.
Speaker 2 (04:08):
The third third third rule.
Speaker 5 (04:10):
To me, the third third rule is anyone.
Speaker 1 (04:15):
It's the rule of the three thirds, where you have
the thirds that all add up to make one full hole.
Speaker 2 (04:23):
That's it. That's it.
Speaker 5 (04:24):
There we go, well done. Otherwise that as third of
the people own their own home, a third of the
people rent, and a third of the people are buying
their heart So, given we've got house prices going up,
people owning their own home delighted. People buying their own home, well,
they're probably pretty happy. To people renting not so happy.
That puts pressure on rents. They might want to buy tough.
(04:47):
Point of this is everyone that lives in a house
is affected by this story, Adam, and apart from maybe
a dozen people that we know, that's everyone, Michael.
Speaker 1 (04:59):
That is one of my favorite rules.
Speaker 2 (05:00):
That rule.
Speaker 1 (05:05):
Yeah, I live by that. My biggest story this week,
Sean and Adam, is all about Trump, right, God's sake,
come on, Well, okay, I wouldn't normally do this for
the bigger story of the week, but it has been
a heck of a week for the US President. He
(05:28):
has ricocheted from berating his generals to floating a Middle
East peace plan to triggering more global trade tensions with
more tariffs. It's it's actually staggering. It is so big.
Speaker 5 (05:45):
I mean, what you really got to ask you, Adam,
right up front, is what's so different about this week
compared to last week and the week before and the
week before that.
Speaker 1 (05:54):
It's because this week is bigger, Right, this week? This week, okay,
very quickly, only through it, very very quickly. He unveiled
a twenty one point plan to end the war in Gaza, boasting,
and he said, we have a real chance for greatness
in the Middle East. The plan would eventually see a
Board of Peace headed up by well Trump himself also
(06:16):
overseen by former UK Prime Minister Tony Blair. So that's Gaza.
Then economic chaos one hundred percent tariffs being slapped on
drug imports, hammering companies like CSL side effects Australian companies. Well,
it doesn't really necessarily affect these Australian companies, but the
uncertainty because if you've got any kind of processing manufacturing
(06:36):
capacity in the US then you are technically exempt. But hey,
it is that confusing. Hollywood was hit to by a
separate wave of tariffs foreign films, including movies made here
in Australia, because Adam, we are in fact foreign to
the United States, probably didn't need to point that out.
They are being targeted as well. On top of that,
then we've got the US government shutdown, which is Trump's
(06:58):
third hundreds of thousands of workers stood down. Talk of
Trump using this for retribution, shutting down department, permanently, sacking
Democrats and causing as he called it, irreversible change. Then
then then if that wasn't enough, he and Defense Secretary
Pete Hegsath stood up in front of every general in the.
Speaker 2 (07:20):
This is the highlight. This has to be the highlight.
Speaker 1 (07:22):
Stood up in front of every general in the United
States military, and attacked woke culture, attacked soldiers with beards,
attacked fat generals in the Pentagon, and more, tell them how.
Speaker 2 (07:36):
Hopeless they've been in the last fifty years since World
War Two.
Speaker 1 (07:40):
And about how this is going to change now, and
just the looks on their faces. Just if looks could
kill goodness. Maybe there was just stony faces everywhere. Then
to finish the week, the President declared war on drug cartels.
Every week with the US president is a big week,
but this week was more pure Trump than I think
(08:03):
we've ever seen. We had part showman, part chaos agent,
part deal maker, just completely extraordinary and combined to make
the biggest story of the week, which is one complete
story and not at all an omnibus story.
Speaker 4 (08:25):
So I'm going to go with the vibe on this one.
Speaker 3 (08:29):
So my vibe was this Trump. Eh. And then house prices,
Oh my god, not again.
Speaker 4 (08:37):
So Sean wins, and it takes me back to sort
of twenty five years ago, right when Lara and I
were saving for our first house and we couldn't keep
up with the market. Our little twenty percent deposit couldn't
keep up with the market.
Speaker 3 (08:50):
It was going so.
Speaker 4 (08:51):
Fast, and I think that is what another generation of
home buyers are looking at now.
Speaker 3 (08:56):
It's so so difficult.
Speaker 4 (08:59):
So I think that is actually more material to the
economy of Australia than, unbelievably almost all of the Trump
events of the week, which were incredible. I just wonder
whether Trump would have passed his own military standards. You know,
when you look at him, excellent question, you know, if
he was to look in the world.
Speaker 5 (09:19):
Adams as Adam Adam Adam takes cast your mind back
a couple of months ago when the president's physician wrote
that not only was Donald Trump in excellent health, he
was also playing golf. And not only was he playing golf,
he was winning the golf tournaments.
Speaker 2 (09:40):
That's how healthy he.
Speaker 4 (09:41):
Was worth noting for a doctor. And JD.
Speaker 1 (09:45):
Vance has a beard Vice President, which I just find
the most staggering hypocrisy, right, asking the generals to be
clean shaven, and that the vice president, who would be
the commander in chief if anything happened to Donald Trump,
is a bearded fellow. I don't know that.
Speaker 3 (10:06):
All those generals goll it.
Speaker 2 (10:11):
Shall we move on?
Speaker 1 (10:12):
I think we must. The judging.
Speaker 2 (10:17):
Neil Michael, the remarkable story.
Speaker 1 (10:21):
No sucking up, no sucking up. And I don't know.
I don't know what your backgrounds are. I don't know
either of the two of you. I don't know what
your work background is or what you're interested in. But
what the heck is going on in Australian media? Huh?
How about this one? I'm not playing for subjective bias here.
This has been a week of huge moves, right seven
(10:44):
West Media merging or planning to merge with Southern Cross Media,
creating a new TV and radio powerhouse, combining combining the
Seven Network and newspapers like The West Australian with radio
network ex Triple amb and the Hit Network. It is
going to be a media giant, like a kind of giant.
(11:07):
It's still worth only a kind of giant. It's a
relatively average height giant. Still worth only four hundred and
fifteen million dollars, which is extraordinary when you think about it. Right,
the Seven West Media alone was worth three billion dollars
when it went public in twenty eleven. Now the value
of this merged company would be four hundred and fifteen
(11:30):
million dollars. And it says a lot about the fate
of the free toware TV networks across that time, which
is just extraor that is remarkable at the time, and
if it's Michael at the same time, at the same
time this week, because that wasn't enough big media moves
(11:52):
in one week, we've got arn Media, owner of Kiss
and Pure Gold, announcing the end of an era, with
veteran c Kieran Davis stepping down after sixteen years. He
oversaw the tremendous success that was Kyle and Jackie O
coming across from Today FM to Kiss more than a
(12:13):
decade ago, but also then the unsuccessful push into Melbourne
for that same show after signing a new two hundred
million dollar contract with the duo. It has been an
epic week, an unforgettable week, a week that will forever
change the Australian media landscape, unable to be overstated here.
And then at the same time we've got nine looking
(12:34):
to offload it's radio stations like two GB and three AW.
More changes to come, but this week will be a
week forever marked in the Australian media calendar. We will
be talking about this for decades.
Speaker 2 (12:47):
Have you used the word remarkable yet?
Speaker 1 (12:49):
It is remarkable? I know, so do we agree.
Speaker 2 (12:55):
I don't even think you'll try. Like I'm just reckon.
I don't know what to do. I'm going subjective, off
we go. You know what.
Speaker 1 (13:02):
I don't know what to do anymore. So for me,
it's just all about subjective bias with a little bit
of melodrama and the rest of it. Can go and
get stuffed.
Speaker 5 (13:09):
But go and get stuffed. There was a remarkable story,
though it came late in the week, the Michael.
Speaker 1 (13:16):
I know, I just did it. What else?
Speaker 5 (13:20):
Just how little overseas companies paying tax and how much
the ossie companies pay. Now we've got the list of
the top tax paying corporates. The winner the three big
miners Rio six point six billion dollars than the twenty
twenty four financial year, bach Boy six billion dollars, four
SCU Medals four billion dollars. The big four banks led
(13:44):
by Comwealth Bank ten billion dollars combined. Excellent. Some companies optists.
Virgin Australia says l zero zipo nothing personal favorite, of course,
Australian insurance owner of NRMA paid nine dollars tax. You
(14:05):
didn't miss here that nine dollars. AMP TPG Transurban Dominos
paid zero. Now it's okay to pay zero tax because
you may have a lot of you may not be
making any money. If you're not making any money, therefore
you lose money and therefore you don't have to pay
tax on it. You may carry forward tax losses as well.
But what's really what's really remarkable is that more than
(14:26):
half the corporate tax take is mining and energy companies.
What's even more remarkable still to this day, is how
little the big global tech players, the US global tech players,
primarily how much they don't pay tax. Microsoft, Google, Facebook,
Apple and Amazon combined six hundred and fifty million dollars
(14:47):
in tax for their Australian operations. Their revenue, I'm guessing
I don't know it, their revenue would been the tens
of billions of dollars six hundred and fifty million in tax.
Netflix no tax on one point two billion dollars. Tesla
paid twenty seven million dollars in tax. I mean you
almost have to say we'll get on your Tesla because
(15:09):
that's actually kind.
Speaker 3 (15:10):
Of relatively generous.
Speaker 5 (15:12):
Yeah, but it's it's outrageous. Now the ATI knows none
of this passes the pub test because it actually put
a statement outset it continues to pay close attention to
these taxpayers to ensure they are paying the right amount
of tax and that losses are not created through contrived schemes.
Speaker 2 (15:29):
Really, these big.
Speaker 5 (15:30):
Text giants are making so much money out of Australia
and that's all the tax they're paying, while BHP and
RE are paying six billion dollars plus four to skew
you know, six billion dollars, sorry, four billion dollars the
big banks combined ten billion dollars. It ain't fair, Adam,
it ain't fair, and it is truly remarkable over a year.
Speaker 4 (15:51):
Yes, subjective bias on both of these stories tax good point,
it's a bit of it.
Speaker 3 (16:00):
In my head. Sean has to win.
Speaker 5 (16:07):
Michael's face, he knew he had no chance. But then you,
when you started with subjective bias, you just saw his
eyes lift slightly, no flicker of hope.
Speaker 3 (16:17):
No, what did you call me a flicker? Okay?
Speaker 1 (16:22):
No, See, the thing was what I have identified here.
There is subjective bias, and it's biased against me.
Speaker 5 (16:30):
Right.
Speaker 1 (16:31):
It is the fact that now there are two categories
that I should have won, and I have one neither.
So therefore I can assume there's something to do with
the stories, but more to do with the person making
the argument anyway, just.
Speaker 4 (16:43):
So the audience knows, you know, when I make it
such that Michael loses, that's not me provoking more melodrama.
That's him legitimately reacting.
Speaker 2 (16:52):
Coming up.
Speaker 5 (16:53):
And Michael has gotten more and more competitive over the years.
Now the last coupent, well, I reckon, He's probably won
two out of the last three weeks since I've been back,
maybe three, the last.
Speaker 3 (17:03):
Couple of wins.
Speaker 2 (17:04):
And so yeah, so he gets quite feisty when he loses.
Speaker 1 (17:07):
Now only when I feel like only when I feel
like justice has not been done right, because I'm here,
I'm not I'm not doing this for me. I'm not
representing me. I'm representing the people, which we've established.
Speaker 2 (17:22):
Before, like a breaken record, isn't.
Speaker 1 (17:24):
The man of the people, right, And so when you
rule against me, you're really against Australia. You're ruling against
common sense and decency. And Trump is your main story
of the people, well, because is he not the man
of many American people?
Speaker 5 (17:41):
Right? Yes?
Speaker 1 (17:42):
And did not get elected in a landslide anyway, Adam,
take it away, continue your bias. We can take it
the people and I are strong.
Speaker 4 (17:53):
Good, So we're going to go into mystery category.
Speaker 1 (17:56):
Sorry you finished.
Speaker 4 (18:00):
Look, I don't know that I could say much more
that will be helpful.
Speaker 1 (18:04):
No, that's fine, we'll take it. We'll take a break. Sorry,
I got caught up and forgot what we're up to.
We'll take a quick break back in a moment, Sean.
We are now moving on to our mystery category, which
changes every week. And Adam, you might have noticed that
(18:26):
when we did the Biggest Story of the week, when
he made a flawed judgment, that you were essentially deciding
between two stories that would perhaps not normally be in
the Biggest Story category.
Speaker 5 (18:38):
That there was something mine mine would have, Mine would
have yours probably wouldn't have.
Speaker 1 (18:46):
Just b s Oh, it feels like we're back now, right,
it feels like we're back where I'm now in my
old familiar terrain of being picked on by the two
of you. The category this week is the biggest story
about the economy, All right, okay, Adam, where we all know?
(19:08):
And I'm going to go first on this one, Sean,
if that's okay.
Speaker 2 (19:13):
Yeah, sure?
Speaker 5 (19:14):
Whatever is that they haven't made enough of the category,
Like that's what I'm disappointed in the category is right,
the economy. We had so much in the economy this week,
so the category is the economy and the bit that
we reckon.
Speaker 2 (19:28):
Adam will like most.
Speaker 1 (19:30):
So okay, well thank you for adding some some color.
Speaker 5 (19:33):
Yeahs you like most. Just the spark's gone out of
Bcael this morning about it.
Speaker 3 (19:45):
Spark.
Speaker 2 (19:45):
The spark is five and look at him, he's a mess.
Speaker 4 (19:49):
A spark and retribution all eyes.
Speaker 1 (19:52):
This week, Adam, we're on one place, just one building
in Martin Place.
Speaker 2 (20:00):
Where there lived out Just for the record, place became.
Speaker 1 (20:05):
Not there anything, and that's best. And it's going to
cost it one point two billion dollars.
Speaker 2 (20:09):
But let's get finicky about this.
Speaker 1 (20:12):
No, But I mean symbolically it is still a symbolic
It is.
Speaker 3 (20:15):
The heart rebuild, renovation.
Speaker 1 (20:17):
It is the heart of the economy right just there.
Speaker 5 (20:20):
Do you know what I kind of like about Martin Place?
People who don't know that area of sitting, so it's
often where a lot of the homeless food trucks land
at the end of the day.
Speaker 2 (20:29):
And I kind of think.
Speaker 5 (20:30):
There's sort of some nice symbolism more that know, the
Reserve Bank, the center of money is there in the
like the position. Well, it's not looking after people, but
the homeless trucks do a fantastic job. That food trucks
do a fantastic jobs for the poor homeless people. But
it's right outside the bank. Anyway, nothing to do with this,
(20:51):
go on, Michael.
Speaker 1 (20:52):
Anyway, The Preserve Bank this week did exactly what everybody
expected it was going to do. It did nothing. It
did nothing, Adam, It left the official cash rate.
Speaker 3 (21:02):
And this is your story.
Speaker 1 (21:04):
Wait, you are judging too early. As usual, usually you
just judge as soon as Sean has spoken without waiting
for me. I beg you this week to wait till
I've finished actually making my argument three point six percent.
What was a real eye opener was the commentary that
accompanied it, Governor Michelle Buller committing she was surprised that
(21:26):
the board was surprised, the Reserve Bank shocked and appalled
by just how sticky inflation is proving to be. I
might be, maybe what does that mean exaggerating it? Especially
in services. We've got growth and inflation data have been
hotter than the RBA forecast back in August, and that's
got everyone nervous, right, that are not coming down as
(21:52):
much as they expected them to do, and that they
had forecast that the decrease in inflation has not been
sustained to the level that they were expecting it to be.
It has got everybody nervous, made markets a bit twitchy,
and Sean as you did an admirable job this week
of explaining the importance of the three year bond rate
(22:13):
now at three point six percent, which is the same
as the official cash rate, suggesting that, as you pointed
out several times, that investors think rates will on average
hang around current levels for some time. Right, the next
big test lends on Melbourne Cup Day, which I find
unusual right that you know how now that they have
(22:34):
shifted the meetings that now we have eight meetings instead
of essentially one every month on the first Tuesday of
the month, that they still have one on Melbourne Cup Day,
which is probably the one where people are not yet
that if you're going to move any one, you would
move that one because that's the one where no one's
paying attention to what the Reserve Bank does. They're going
(22:54):
to have September quarter inflation data in hand for that one,
so that is going to be pivotal. But as far
as the econ we went this week. There was only
one story in Australia that is worth considering here, and
it was the RBA, and it was the decision that
they made to leave rats on hold. But the important,
the vital, the enormously significant commentary that went with it.
(23:16):
Nothing else matters, Sean, what else did you like?
Speaker 5 (23:22):
So they did nothing? I think you just said I did.
Speaker 1 (23:26):
I did, yes, yes, yeah.
Speaker 5 (23:28):
Now, I mean they've done it a few times in
recent months. I've got to say what they did do
this week though, which was part of her commentary, but
also this semi annual Financial Stability Report which came out
at the end of the week. They basically told us
that the cost of living crisis, the crisis part of
it was over. Pressures are easy and haven't we been
(23:52):
waiting for a long time for that? When Michelle Bullock
spoke after the interest right decision on Tuesday, when nothing happened,
and then she made it clear that inflation is lower,
there are interest rate cuts, the government Stage three tax
cuts are doing the trick. The number of inquiries to
the National Debt helpline stabilized over the past year. The
(24:15):
Central Bank and this is in the Stability report said
the number of mortgage holders in arrears, as in people
who are more than ninety days behind paying their home loans,
peaked twelve months ago and has been declining ever since.
It's now back to pre pandemic levels. The bottom quarter
of income earners with a mortgage have enough savings to
afford ten months repayments. The top quarter, so that Michael
(24:39):
bottom quarter ten months repayments, Adam top quarter, twenty months repayments.
The cost of living crisis, my friends, is disspeating. Doesn't
that word ruin it? It's about that, I mean, I
think it's kind of really marked a point in time
that we have had so much, such a challenge in
(25:01):
Australia making ends meet, and it's still tough, but we're
getting rate cuts, we're getting tax cuts, Inflation is lower,
and the Reserve Bank called it this week a damn.
Speaker 2 (25:13):
Skew over to you.
Speaker 4 (25:14):
God, this is hard so close Adam, what well both RBA,
you know, both really the same set of people talking
about information in the same week where technically nothing happened
on interest rates, but so much handringing and anguish in
(25:36):
the data.
Speaker 5 (25:39):
Oh, this is unfair on Adam, you know, because you
see his mind just exploding with sort of excitement about
two economic stories in one go, and it's like, oh,
how do I separate them?
Speaker 4 (25:52):
And all look, all the data show national debt helpline
calls going down.
Speaker 3 (25:57):
That is wonderful to hear.
Speaker 2 (26:00):
Yeah, it's really good, people.
Speaker 4 (26:01):
In lonerrears going down, having a bit more.
Speaker 2 (26:04):
Judging people judging people.
Speaker 4 (26:07):
Okay, but Sean, I have to give it to Michael
because the three year bond rate and.
Speaker 3 (26:15):
Three point six So I like to think I do.
Speaker 2 (26:19):
He doesn't. You might, but he doesn't.
Speaker 3 (26:22):
I absolutely do.
Speaker 1 (26:25):
Learned about it in some detail this week, and I
continue to now tell people randomly on the street about
I have not made many new friends this week and
the kids are really sick and tired of the bond
rat What.
Speaker 4 (26:43):
So Michael wins?
Speaker 5 (26:46):
So good call? Can I just put it this way
that the first category, there's no way in the world
I should have won that, and I did that. Last category,
there's no way the world Michael should have won that,
and he did so about even at the moment.
Speaker 2 (27:00):
Yeah, judges.
Speaker 1 (27:03):
Of judging remains appalling.
Speaker 2 (27:07):
V wades in that one.
Speaker 1 (27:09):
Let's which for contexts, right, because you have new listeners
now who aren't aware of this what years ago now.
Speaker 2 (27:17):
More than that, Yeah, I'm still holding onto it.
Speaker 1 (27:20):
When when Roe v. Wade was decision was leaked, Yeah,
in the US, it was a massive story, and Adam
you ruled against that as being the biggest story and
instead went for some story about like puppies or something.
Speaker 3 (27:36):
I got that quite wrong.
Speaker 5 (27:38):
The preponderance of labor doodles in the Sydney he that
one over v Wade as Maggie labor doodles sat by
his leak.
Speaker 1 (27:50):
And as a result, now you have been forced to
endure Sean constantly bringing that up every time there was
a judgment that to disagree with anyway, favorite story, Yeah,
you go first.
Speaker 5 (28:04):
On this one, right, my favorite story of the week.
Bye about I'm trying to find the details here in
front of me.
Speaker 2 (28:16):
I can't like.
Speaker 5 (28:17):
By about six hundred and twenty five meters is the
official opening of the world's highest bridge, Aijang Grand Canyon Bridge.
It basically landers from one mountain to the other. It
just to take two hours travel time to get from
one mountain to the other. It now it takes two minutes.
(28:38):
It's one and a half kilometer bridge made up of
ninety three segments, weighing twenty two thousand tons, nine times
higher than the Golden Gray Bridge Bridge in San Francisco,
twice the height of the Eiffel Tower. The Empire State
Building would well and truly fit under it. It's a
suspension bridge, two lanes of car traffic in each direction.
Also big tourist attraction if they visitors can take a
(29:01):
high speed glass elevated to a cafe built into the
top of one of the bridge's towers. Oh my god,
that would just kill me.
Speaker 2 (29:08):
They reckon. They'll do bungee jumping from it eventually.
Speaker 3 (29:11):
Oh.
Speaker 6 (29:12):
I love the fact that two months ago before they
opened to the public, a testing team drove ninety six
trucks onto designated points to test the bridge bridges structural integrity.
Speaker 2 (29:25):
What if that went wrong? Hey?
Speaker 3 (29:31):
Number ninety six on you go?
Speaker 5 (29:34):
So it is It is well worth checking out the videos.
They're all over the place because it is an incredible structure.
The now second highest bridge is actually just two hundred
kilometers up the road in China, and seven of the
world's biggest bridges. Well, no, these seven biggest bridges in
the world are in China. Three of them are in
that region. But those guys know how to build a bridge.
(29:56):
If you want a suspension bridge, you go to the Chinese,
no doubt about it. It is just a cracking story,
amazing feed of engineering that they can do that. The
video is fantastic for an audio medium like podcasting.
Speaker 2 (30:10):
Hm, no, it's not.
Speaker 1 (30:14):
The speed is the speed at which that was that
was like if that was if that was done in Australia,
it would have taken three decades, three years yea.
Speaker 5 (30:23):
And two hundred and eighty million dollars. So the province
that it covers is the one of the poorest provinces
in China and it cost them two hundred and eighty
million dollars to build. So you put that together and
you think, hmm me thinks they had some very cheap
labor on that, because I mean you would take it
to be billions of dollars to do something like that.
(30:44):
Just two hundred and eighty million dollars in three years,
that's how they got it, right, Yeah.
Speaker 1 (30:49):
Yeah, yeah, yeah. The video is quite incredible and it
is terrifying. Now, Adam, my favorite story. One of the
hottest defense stocks on the entire planet is home grown.
It is Australian Drone Shield Adam. Drone Shield surged around
(31:09):
fifty percent in just three days this week. Three days
fifty percent, right, Remember write that down because that is
pivotal to this whole story. Governments, particularly in Europe are
scrambling to counter this flood of cheap, deadly drones that
(31:29):
have become central to the modern battlefield. Denmark had a
scare this week with several drone incursions and leading the
way in defense. Here is Drone Shield, which I would
say is a friend of Fearing greed because we have
spoken to the founder and CEO. I'm not saying that we.
Speaker 2 (31:50):
Are anyone speak to as a friend.
Speaker 1 (31:53):
Yeah, that's right, and therefore wee can they claim to
some of the success as the company Because Drone Shield
uses senses to detect, identify, and then neutralize droned defense
spending around the world soaring, so too is drone Shield.
Its share price is up nearly five hundred percent this
(32:15):
year alone. I find that incredible and just one little
homegrown Aussie company. Great story, favorite story, arguably best story
of the entire week, and if it does not win,
it is going to be a travesty.
Speaker 4 (32:33):
Adam, He's gone off script with that one, but very
well done, Michael Sean. During the week, I had a
lot of feedback about your story about drone shield two
points where one where you debated, how do you describe
what drone shield does.
Speaker 1 (32:52):
Shields from shields drones.
Speaker 2 (32:54):
It's just a build stuff that shields stuff from stuff.
Speaker 4 (32:58):
And then two you're thinking about where the geese?
Speaker 2 (33:02):
Would I please you?
Speaker 5 (33:05):
Because you can spend a lot of money right on
drone shield, right and get all this defense stuff going,
why not just buy a bunch of geese send them
up just large birds generally, but geese is the example,
and just send them up with the drone.
Speaker 3 (33:16):
It's an unlaiden swallow.
Speaker 1 (33:18):
Or you don't necessarily need a small number of large geese.
You could have a very very large number of very
small birds, like if you were to, like, why percent
up ten geese when you could send up two thousands canaries?
Speaker 2 (33:33):
Right?
Speaker 1 (33:34):
Okay? And so you've got different birds for different budgets
because sparrow.
Speaker 4 (33:38):
Sacrifice any sort of bird you like, sparrows.
Speaker 1 (33:42):
Are doing cheap in this economy. Seriously, just get out
there by buy I don't know, a couple of crates
ten thousand Sparrows send them up. Job done. There we
go Sparrow Shield.
Speaker 4 (33:54):
Yeah, Adam, okay, thank you. Look difficult. But because it's
an Australian company done so well, Drone Shield.
Speaker 3 (34:06):
Has to win.
Speaker 5 (34:07):
That's just a dud, well played. That's decision, decision. God,
we're run over time today. You are carrying on, Michael
and Adam. Your judging has been started off hot, ended
up cold.
Speaker 2 (34:22):
It's just a debarkle.
Speaker 4 (34:26):
What about the point to yep, Sean ninety three points,
Michael ninety points.
Speaker 5 (34:33):
Well, we're both surprised on that. So we got two
all and I won by three points. This is the
show where Michael can win four nil and there's one
point different.
Speaker 2 (34:44):
Mathematically impossible, but you can do it.
Speaker 1 (34:48):
Yeah, defy all logic. Okay, good results, not really, but
it's a result, you know what. It's a result and
that's what we need because we can't finish without a result.
We are finally finish.
Speaker 3 (35:00):
Thank you very much, Adam, Thank you, Michael, thank you, Sean.
Speaker 2 (35:03):
Thanks Sean, thanks Michael, thank you Adam.
Speaker 1 (35:06):
Make sure you're following the podcast, and please head to
Fear and Greed dot com dot au to sign up
for our free daily newsletter. I'm Michael Thompson, and that
was fear and greed.
Speaker 3 (35:14):
Have a great weekend.
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