Hoarded cash to drive recovery

Original article by Tom Dusevic
The Australian – Page: 1 & 6 : 22-Sep-21

The OECD now expects the Australian economy to grow by four per cent in 2021. The Paris-based organisation had previously forecast in May that the domestic economy would expand by 5.1 per cent in 2021 as it recovered from the COVID-19 pandemic. However, the Commonwealth Bank says economic activity will be boosted as households begin spending about $230bn worth of savings they have accumulated during the pandemic. The minutes of the Reserve Bank of Australia’s latest board meeting show that it is also upbeat about the long-term economic outlook, despite expectations that GDP will fall and unemployment will rise in the September quarter.

CORPORATES
ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, RESERVE BANK OF AUSTRALIA

Inflation Expectations up 0.2% points to 4.3% in August; highest for nearly three years since November 2018

Original article by Roy Morgan
Market Research Update – Page: Online : 22 September August 2021

In August 2021, Australians expected inflation of 4.3% annually over the next two years, up 0.2% points and the highest Inflation Expectations since November 2018. Inflation Expectations are now up 1.1% points since the pandemic low of 3.2% in August 2020. Inflation Expectations are still 0.4% points below their long-term average of 4.7% but are now 0.8% points higher than the 2020 monthly average of 3.5%. A look at Inflation Expectations by Federal Voting Intention shows big increases across the board from a year ago, and up significantly from two years. Inflation Expectations for L-NP supporters increased 1.1% points from a year ago to 4.2% in August and are now 0.7% points higher than two years ago in August 2019. In fact, the Inflation Expectations of L-NP supporters are now at their highest level since November 2014. The Inflation Expectations of Greens supporters have increased faster than any other over the last year and are up 1.5% points to 3.9% – but are still lower than supporters of all other parties. The Inflation Expectations for ALP supporters are at 4.2% in August, up 0.9% points from a year ago and now 0.5% points higher than two years ago in August 2019. On a State-based level Inflation Expectations are highest and well above the national average in both Tasmania at 4.7% and Queensland at 4.5%.

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ROY MORGAN LIMITED

COVID-19 pandemic drives Australians to increasingly shut themselves off from the rest of the world when at home

Original article by Roy Morgan
Market Research Update – Page: Online : 22-Sep-21

New Roy Morgan data shows that the COVID-19 pandemic is driving significant changes in how Australians view their home. The latest figures from the June 2021 quarter show that 54.5% of Australians aged 14+ now agree that ‘When I’m at home, I like to shut myself off from the rest of the world’; this is an increase of 16% compared to the March 2020 quarter, just prior to the onset of the COVID-19 pandemic. Prior to the pandemic agreement with this statement had barely changed over the preceding four years, increasing by just over 1% since the September 2016 quarter. Women have driven a larger share of this increase since the pandemic began than men. A clear majority of 58.5% of women agree with the statement in the June 2021 quarter, an increase of 19.8% points from the March 2020 quarter and up over 21% points from five years ago. In contrast only a narrow majority of 50.3% of men now agree with the statement, an increase of 12% points from the March 2020 quarter and up just over 13% points from five years ago. The data comes from Roy Morgan Single Source, the nation’s largest and longest-running program of research into consumer behaviour and attitudes, continuously conducted year-round.

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ROY MORGAN LIMITED

ANZ-Roy Morgan Consumer Confidence virtually unchanged at 103.3 before Victorian re-opening plan outlined on Sunday

Original article by Roy Morgan
Market Research Update – Page: Online : 22-Sep-21

ANZ-Roy Morgan Consumer Confidence rose 0.2pts to 103.3 on September 18/19, before Victorian Premier Daniel Andrews outlined the State’s re-opening plan; the full impact on confidence won’t be felt until next weekend. Consumer Confidence remains well below the 2021 weekly average of 108.6, but it is now 9.8 points higher than the same week a year ago (93.5). Consumer Confidence this week was down slightly in both NSW and Victoria, although still in positive territory in both States. Consumer Confidence increased in both Queensland and South Australia, and was virtually unchanged – and higher than anywhere else – in Western Australia at well over 110. Now 26% (down 1ppt) of Australians say their families are ‘better off’ financially than this time last year, while 30% (up 2ppts) say their families are ‘worse off’ financially. In addition, 38% (up 1ppt) of Australians expect their family to be ‘better off’ financially this time next year, and only 13% (down 1ppt) expect to be ‘worse off’ financially. Some 14% (unchanged) of Australians expect ‘good times’ for the Australian economy over the next 12 months, while 24% (down 2ppts) expect ‘bad times’. Meanwhile, 34% (down 1ppt) of Australians say now is a ‘good time to buy’ major household items, while 32% (unchanged) say now is a ‘bad time to buy’.

CORPORATES
ROY MORGAN LIMITED, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Tax cuts to soon disappear as budget relies on workers to recover from COVID-19

Original article by Shane Wright
The Age – Page: Online : 22-Sep-21

Analysis by the Parliamentary Budget Office shows that ‘bracket creep’ will erode the benefits of the federal government’s personal income tax cuts over the next decade. The PBO has forecast that people with annual income of $20,000 to $50,000 face an increase of 6.6 per cent in their average tax rate by 2031-32, while those earning between $50,000 and $75,000 will pay an extra three per cent. People earning $96,000 to $160,000 a year are the only ones who will be paying a lower average tax rate. The final stage of the income tax cuts package will take effect in mid-2024.

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AUSTRALIA. PARLIAMENTARY BUDGET OFFICE

Rampaging thugs unleash destructive anarchy on Melbourne

Original article by John Ferguson, Angelica Snowden, Remy Varga
The Australian – Page: 1 & 4 : 22-Sep-21

Sixty-two people were arrested during violent protests in Melbourne on 21 September, in response to the Victorian government’s mandatory COVID-19 vaccination policy for construction workers and a two-week shutdown of the sector. An estimated 2,000 people participated in the protest, including construction workers, tradespeople and unionists, while there have been claims that the demonstration had been infiltrated by far-right activists and anti-vaxxers. Further protests are expected in coming days. Meanwhile, the state government has revised downward the number of COVID-19 cases linked to the construction sector since early August from 403 to just 337. This includes 239 cases that are linked to construction sites in metropolitan Melbourne.

CORPORATES

US has ‘no closer ally than Australia’, says Biden after AUKUS pact

Original article by Patrick Wintour
The Guardian Australia – Page: Online : 22-Sep-21

Prime Minister Scott Morrison and US President Joe Biden have held their first official in-person meeting on the sidelines of the United Nations General Assembly in New York. Biden praised Australia ahead of the meeting, stating that the US has no "closer or more reliable ally". Biden had earlier addressed the general assembly, but his speech did not directly mention the new AUKUS security alliance between Australia, the UK and the US. Meanwhile, former prime minister Kevin Rudd has criticised Morrison’s handling of the cancelled submarines contract, particularly his failure to inform the French government that the deal would be dropped in favour of nuclear-powered subs under the new alliance.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, UNITED NATIONS. GENERAL ASSEMBLY

Union scores another legal win over Qantas

Original article by Robyn Ironside
The Australian – Page: 15 : 22-Sep-21

The Federal Court has rejected Qantas’s push to delay a preliminary remedy hearing with regard to the reinstatement of ground-handling staff whose jobs had been outsourced. The preliminary hearing had been scheduled for 1 October, but Qantas argued that it should be postponed until the carrier’s appeal against the Federal Court’s recent ruling in the case is heard in 2022. The court had found that Qantas’s decision to outsource 2,000 jobs was at least partly aimed at avoiding industrial action; the airline had contended that the move was solely aimed at achieving cost savings of $100m.

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QANTAS AIRWAYS LIMITED – ASX QAN, FEDERAL COURT OF AUSTRALIA

Wuhan doco a winner for Sky

Original article by Sophie Elsworth
The Australian – Page: 3 : 22-Sep-21

Data from OzTAM shows that a Sky News documentary on the origins of COVID-19 attracted 160,000 viewers, making it the pay-TV channel’s highest-rating program so far in 2021. ‘What Really Happened in Wuhan’ was also watched by 100,000 regional viewers on the free-to-air Sky News Regional channel. Former US president Donald Trump and ex-secretary of state Mike Pompeo are among the people who were interviewed by investigative journalist Sharri Markson.

CORPORATES
SKY NEWS

AFL supporter bases boom in 2020/21 as lockdowns keep people at home and glued to the action on TV

Original article by Roy Morgan
Market Research Update – Page: Online : 22-Sep-21

The Sydney Swans have again topped the annual Roy Morgan AFL supporter ladder as the only club with over 1 million supporters. The Swans now have 1.031 million supporters, an increase of 27,000 (+2.7%) on a year ago, according to the 2021 annual Roy Morgan AFL club supporters survey. Almost all of the AFL’s 18 clubs experienced a rise in support during the year to June 2021, and some of the biggest increases have come for teams enjoying success during the last two years. The clubs to experience the largest rise in support include Grand Finalists the Western Bulldogs and Melbourne, 2019-2020 Premiers Richmond and two of the most consistent performers during 2020 and 2021, the Brisbane Lions and Port Adelaide. Although COVID-19 has played havoc with scheduling throughout the last two years there are now more people than ever before, 8,857,000, expressing support for an AFL club, an increase of 1,335,000 (+17.7%) on a year ago. In addition, there are 7,580,000 Australians who watched an AFL match on TV, down 81,000 (-1.1%) on a year ago.

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ROY MORGAN LIMITED, AUSTRALIAN FOOTBALL LEAGUE