Author: roymorgansocial

Shorten wants health role, but some in Labor say that’s a sick joke

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Original article by Richard Ferguson, Alice Workman
The Australian – Page: 4 : 29-May-19

Labor will hold its first caucus meeting in the wake of its election defeat on 30 May, but new leader Anthony Albanese has indicated that the new shadow ministry will not be announced for several days. Former leader Bill Shorten is said to have expressed interest in the health portfolio, although Catherine King is believed to be keen to retain the portfolio. Some Labor MPs do not think Shorten deserves a frontbench portfolio, while former Labor minister Stephen Conroy says he still has much to contribute.

CORPORATES
AUSTRALIAN LABOR PARTY

Bullish iron ore could give budget $4b boost

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Original article by Peter Ker
The Australian Financial Review – Page: 19 : 29-May-19

The iron ore price reached a five-year high of $US108 per tonne on 28 May, prompting strong gains in the share prices of Australia’s three major producers. The federal government’s April 2019 Budget had forecast that the iron ore price would average $US88/tonne in 2019-20; Nicki Hutley of Deloitte Access Economics says government revenue could increase by $4bn if the price remains at its current level over this period. Goldman Sachs does not expect iron ore to remain above $US100 for long; it has issued a revised price forecast for 2019 of $US91.

CORPORATES
BHP GROUP LIMITED – ASX BHP, RIO TINTO LIMITED – ASX RIO, FORTESCUE METALS GROUP LIMITED – ASX FMG, VALE SA, DELOITTE ACCESS ECONOMICS PTY LTD, GOLDMAN SACHS AUSTRALIA PTY LTD, MOUNT GIBSON IRON LIMITED – ASX MGX, ROY HILL HOLDINGS PTY LTD, MINERAL RESOURCES LIMITED – ASX MIN, GRANGE RESOURCES LIMITED – ASX GRR

ScoMo effect sends us cruising

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Original article by Joyce Moullakis, Luke Griffiths, Lisa Allen, Samantha Bailey
The Australian – Page: 1 & 4 : 29-May-19

Anecdotal evidence suggests that the Coalition’s surprise federal election win has boosted activity in several sectors of the economy. Banks and mortgage brokers say there has been a sharp increase in home loan enquiries in the wake of the 18 May poll, with Commonwealth Bank CEO Matt Comyn noting that it received more mortgage loan applications in the week after the election than it had in more than six months. Cruise lines have also reported an increase in enquiries and bookings, particularly among retirees who would have been hard hit by Labor’s reforms.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSSIE HOME LOANS LIMITED, AUSTRALIAN FINANCE GROUP LIMITED – ASX AFG, NORWEGIAN CRUISE LINE, REGENT SEVEN SEAS, OCEANIA CRUISE LINES PTY LTD, ACCOR ASIA PACIFIC, COUNCIL OF SMALL BUSINESS ORGANISATIONS OF AUSTRALIA LIMITED, AUSTRALIAN LABOR PARTY, ACTU, MASTER BUILDERS AUSTRALIA INCORPORATED

Big stick returns in power fight

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Original article by Simon Benson
The Australian – Page: 1 & 4 : 29-May-19

Energy Minister Angus Taylor says legislation aimed at forcing power companies to reduce electricity prices will be a priority for the federal government when parliament resumes. The so-called ‘big stick’ bill was put on hold in March after being rejected by parliament, and the CEOs of major energy companies still have concerns about the proposed legislation. Taylor also says the federal government will encourage its state counterparts to take action to increase electricity and gas supply.

CORPORATES
AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, ORIGIN ENERGY LIMITED – ASX ORG, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, AUSTRALIAN LABOR PARTY, AUSTRALIAN GREENS, NATIONAL PARTY OF AUSTRALIA, CENTRE ALLIANCE, AUSTRALIAN CONSERVATIVES, ONE NATION PARTY

Cut taxes, not rates, says Comyn

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Original article by Joyce Moullakis
The Australian – Page: 20 : 29-May-19

The Commonwealth Bank plans to invest some $5bn in it technology platforms over five years, to make them more secure and to improve their functionality. It is part of the bank’s strategy to regain customers’ trust in the wake of the Hayne royal commission. CEO Matt Comyn has also told a business lunch that the bank will close more branches over coming years but it is committed to retaining Australia’s largest branch network. He added that government policies such as tax cuts do more to stimulate the economy than official interest rate cuts.

CORPORATES
COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, AUSTRALIA. ROYAL COMMISSION INTO MISCONDUCT IN THE BANKING, SUPERANNUATION AND FINANCIAL SERVICES INDUSTRY, RESERVE BANK OF AUSTRALIA, HERBERT SMITH FREEHILLS PTY LTD

ANZ-Roy Morgan Consumer Confidence increases further to 118.6

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Original article by Roy Morgan
Market Research Update – Page: Online : 29-May-19

ANZ-Roy Morgan Australian Consumer Confidence rose 1.2% to 118.6 in the week ended 26 May. Households’ views towards current financial conditions rose 1.2%, while views towards future financial conditions rose 0.8%. These two indices have risen for three consecutive weeks, and the measure of current financial conditions is at its highest since early February. Meanwhile, consumers’ views toward current economic conditions rose 3.0% and future economic conditions were up 4.5%. The ‘time to buy a household item’ index fell 2.9%.

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

$32bn debt binge funds pledges

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Original article by Rebecca Urban
The Australian – Page: 6 : 28-May-19

The Victorian Government’s May 2019 Budget has forecast a surplus of $1bn in 2019-20, rising to $1.5bn in the following financial year. State debt is projected to rise by $32.1bn over the forward estimates period, topping $54.9bn in 2022-23. The increased debt will be used to finance infrastructure projects, with expenditure on infrastructure to average $13.4bn a year over the forward estimates. Meanwhile, the government has scaled back its forecasts for growth in employment and gross state product over the next three years.

CORPORATES
VICTORIA. DEPT OF TREASURY AND FINANCE, MOODY’S INVESTORS SERVICE INCORPORATED, S&P GLOBAL RATINGS

Energy experts urge Coalition to do more on climate policy

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Original article by Mark Ludlow
The Australian Financial Review – Page: 6 : 28-May-19

RepuTex director Hugh Grossman says the Coalition’s Emissions Reduction Fund will not help Australia to achieve its 2030 carbon emissions reduction targets by itself. The fund, which has been renamed the Climate Solutions Fund, pays polluters for securing carbon abatement. However, it has been criticised for not penalising the biggest polluters and compelling them to change their behaviour. The Grattan Institute’s Tony Wood says the energy sector can be expected to adopt a more conciliatory approach to the Coalition, given that it was widely expected to lose the federal election.

CORPORATES
GRATTAN INSTITUTE, ORIGIN ENERGY LIMITED – ASX ORG, ENERGY USERS ASSOCIATION OF AUSTRALIA, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, REPUTEX AUSTRALIA PACIFIC PTY LTD

Galaxy secures front-row seats to the next lithium IPO

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Original article by Peter Ker
The Australian Financial Review – Page: 17 : 28-May-19

Galaxy Resources recently announced that it would acquire $22.5 million worth of shares in lithium exporter Alliance Mineral Assets. The transaction will make Galaxy the biggest shareholder in Alliance, with a stake in excess of 10 per cent. Galaxy will also be a shareholder in Cowan Lithium when it eventually lists on the Australian sharemarket; it acquired an interest in Cowan as a result of buying shares in Alliance’s predecessor company, Tawana Resources.

CORPORATES
GALAXY RESOURCES LIMITED – ASX GXY, ALLIANCE MINERAL ASSETS LIMITED – ASX A40, COWAN LITHIUM LIMITED – ASX COW, TAWANA RESOURCES NL, KIDMAN RESOURCES LIMITED – ASX KDR, WESFARMERS LIMITED – ASX WES

Porter has mandate to restructure workplace tribunal: employers

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Original article by David Marin-Guzman
The Australian Financial Review – Page: 5 : 28-May-19

Australian Mines & Metals Association CEO Steve Knott says the Fair Work Commission needs to approve enterprise agreements more quickly, arguing that the often lengthy delays at present are unacceptable. He says one option may be to give the Fair Work Ombudsman responsibility for approving workplace deals. Knott has urged new Industrial Relations Minister Christian Porter to undertake a review of the FWC’s performance and processes.

CORPORATES
AUSTRALIA. FAIR WORK COMMISSION, AUSTRALIA. FAIR WORK OMBUDSMAN, AUSTRALIA. DEPT OF JOBS AND SMALL BUSINESS, AUSTRALIAN MINES AND METALS ASSOCIATION (INCORPORATED), RMIT UNIVERSITY, AUSTRALIAN LABOR PARTY