Author: roymorgansocial

CBA cut heats up home loan war

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Original article by Duncan Hughes
The Australian Financial Review – Page: 12 : 25-Sep-19

The Commonwealth Bank of Australia will reduce its interest rates on a range of mortgage loans for owner-occupiers and property investors. The rate cuts range from 10 basis points to 90 basis points, and apply to loan periods ranging from one to five years. Mortgage brokers say the move suggests that CBA expects the Reserve Bank to further ease monetary policy. Westpac recently announced a reduction in its mortgage loan serviceability floor.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, WESTPAC BANKING CORPORATION – ASX WBC, RESERVE BANK OF AUSTRALIA, UNIVERSITY OF NEW SOUTH WALES

Major household item buying index slumps

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Original article by Michael Mehr
News.com.au – Page: Online : 25-Sep-19

The latest ANZ-Roy Morgan Australian Consumer Confidence data shows that the number of consumers who think now is a good time to buy a major household item has fallen to its lowest level since 2009. ANZ economist Felicity Emmett says this is disappointing given the federal government’s income tax cuts. ANZ-Roy Morgan consumer confidence index data is closely monitored by the Reserve Bank, which is widely tipped to reduce the cash rate again in October.

CORPORATES
AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ, ROY MORGAN LIMITED, RESERVE BANK OF AUSTRALIA, WESTPAC BANKING CORPORATION – ASX WBC, UNIVERSITY OF MELBOURNE. INSTITUTE OF APPLIED ECONOMIC AND SOCIAL RESEARCH

Job losses loom as Warburton remakes Seven West Media

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Original article by Zoe Samios
The Australian – Page: 17 & 24 : 25-Sep-19

Seven West Media has declined to comment on speculation that it is poised to shed staff across its operations as part of a restructuring. CEO James Warburton flagged measures to reduce costs shortly after taking the helm in August, as well the potential for mergers and acquisitions in both the traditional and non-traditional media sectors. Seven West Media posted a $444.5m net loss in 2018-19.

CORPORATES
SEVEN WEST MEDIA LIMITED – ASX SWM, SEVEN NETWORK LIMITED, NINE NETWORK AUSTRALIA LIMITED, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, V8 SUPERCARS AUSTRALIA PTY LTD, APN OUTDOOR GROUP LIMITED, JC DECAUX SA

Local is lucrative for media companies

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Original article by Zoe Samios
The Australian – Page: 19 : 25-Sep-19

News Corp Australia executive Damian Eales addressed the NewsMediaWorks INFORM Summit on 24 September. He emphasised the importance of local journalism and news content in regional and rural areas, and noted that regional mastheads are the media group’s fastest-growing digital products. Eales added that with digital platforms gaining an increasing share of advertising revenue, traditional media companies have become much more reliant on paid subscriptions in order to keep providing quality journalism.

CORPORATES
NEWS CORP AUSTRALIA PTY LTD, NEWS CORPORATION – ASX NWS, NEWSMEDIAWORKS, GOOGLE INCORPORATED, FACEBOOK INCORPORATED, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, AUSTRALIAN COMMUNITY MEDIA

ANZ-Roy Morgan Consumer Confidence consolidates to 110.1

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Original article by Roy Morgan
Market Research Update – Page: Online : 25-Sep-19

ANZ-Roy Morgan Australian Consumer Confidence rose 0.7% to 110.1 in the week ended 22 September, after losing 3.5% in the previous reading. Households’ views towards current financial conditions rose 1.9% and remain above the long-run average, while views towards future financial conditions gained 1.6%. Consumers’ views toward current economic conditions rose 3.6%, and views towards future economic conditions gained 1.0%; both subindices remain well below their long-run averages. The ‘time to buy a major household item’ index dropped 3.8% and is now at its lowest level in 10 years, and the four-week moving average for inflation expectations was stable at 4.1%.

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

PM push to wind back China’s trade benefits

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Original article by Phillip Coorey
The Australian Financial Review – Page: 1 & 4 : 24-Sep-19

Prime Minister Scott Morrison has called for an overhaul of the global trading system in response to the economic rise of China. He said China should now be recognised as a newly-developed economy and it should no longer be entitled to concessions under World Trade Organization rules for developing nations. Speaking in Chicago during his official visit to the US, Morrison stressed that global trade rules are outdated and are no longer "fit for purpose", particularly with regard to digital trade. He also emphasised the importance of Australia’s alliance with the US, and said Australia will never take it for granted.

CORPORATES
AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, WORLD TRADE ORGANIZATION, CHICAGO INSTITUTE FOR GLOBAL AFFAIRS, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, UNITED NATIONS. GENERAL ASSEMBLY

Tax cuts, not surpluses, key to growth

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Original article by Adam Creighton
The Australian – Page: 5 : 24-Sep-19

Returning the Budget to surplus has been a priority for the federal government since it won office in 2013, and it is on track for a surplus in 2019-20 after posting a deficit of less than $700m for 2018-19. However, documents released under Freedom of Information laws show that the Treasury is of the view that tax cuts may be the best way to stimulate the economy. The Treasury papers note that the government’s income tax cuts package will boost household disposable income by 0.75 per cent over three years, while delaying or reversing future tax cuts would reduce the efficiency of the economy and the tax system.

CORPORATES
AUSTRALIA. DEPT OF THE TREASURY

Radio deal not over till the fat lady sings

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Original article by Lilly Vitorovich
The Australian – Page: 19 : 24-Sep-19

Wilson Asset Management holds a stake of about 2.91 per cent in Macquarie Media. WAM chairman Geoff Wilson believes that Nine Entertainment’s offer of $1.46 per share undervalues the takeover target, and that Macquarie’s independent board committee should seek a better deal. He contends that the committee must act in the best interests of minority shareholders rather than merely large investors. Wilson believes that a higher offer for Macquarie may yet emerge before Nine’s bid closes on 14 October.

CORPORATES
MACQUARIE MEDIA LIMITED – ASX MRN, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, WILSON ASSET MANAGEMENT

A majority of Australians now see digital outdoor advertising each week

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Original article by Roy Morgan
Market Research Update – Page: Online : 24-Sep-19

New data from Roy Morgan shows that a majority of 10.8 million Australians aged 14+ (52%) are now seeing digital outdoor advertising in an average week. This represents a significant increase of 10% points from four years ago, when only 42% reported seeing digital outdoor advertising. However, traditional outdoor advertising remains more prevalent. Now 15.6 million Australians aged 14+ (76%) are seeing traditional outdoor advertising such as billboards or posters in an average week. Overall, 78% of Australians see outdoor advertising of some type – including digital, billboard or posters – in an average week, an increase of 4% points on six years ago in 2013. These are the latest findings from Roy Morgan’s Single Source Survey, which is based on in-depth personal interviews conducted face-to-face with over 50,000 Australians per annum in their own homes.

CORPORATES
ROY MORGAN LIMITED

BHP backs government over Kyoto loophole

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Original article by James Fernyhough
The Australian Financial Review – Page: 20 : 24-Sep-19

BHP CEO Andrew Mackenzie is said to have expressed support for the Coalition’s proposal to use Kyoto carryover credits to meet Australia’s carbon emissions reduction targets under the Paris agreement. Sources have confirmed that Mackenzie did so in a private call with institutional investors on 20 September, although a BHP spokesman has declined to comment. The Minerals Council of Australia and the Business Council of Australia also support the use of carryover credits. Mackenzie had advocated greater action to address climate change earlier in 2019.

CORPORATES
BHP GROUP LIMITED – ASX BHP, MINERALS COUNCIL OF AUSTRALIA, BUSINESS COUNCIL OF AUSTRALIA, THE AUSTRALIAN CENTRE FOR CORPORATE SOCIAL RESPONSIBILITY, VISION SUPER PTY LTD, INVESTOR GROUP ON CLIMATE CHANGE, UNITED NATIONS