Author: roymorgansocial

McGowan threat to unruly Nationals

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Original article by Phillip Coorey
The Australian Financial Review – Page: 4 : 23-Oct-18

Independent MP Cathy McGowan has signalled that she may not continue to support the federal government on confidence and supply if there is a change of leadership at the National Party. McGowan has warned that her constituents in rural Victoria would not welcome more leadership turmoil in Canberra. The future of Nationals leader Michael McCormack has been under scrutiny, amid speculation that he may face a challenge from predecessor Barnaby Joyce.

CORPORATES
NATIONAL PARTY OF AUSTRALIA, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET

Jobs figures catch up with economic reality

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Original article by Patrick Commins
The Australian Financial Review – Page: 33 : 23-Oct-18

Australia’s unemployment rate fell from 5.3 per cent to five per cent in seasonally adjusted terms in September, but in reality the official jobless figure was merely moving into alignment with "shadow" labour market indicators. Macquarie Group economist Justin Fabo expects the unemployment rate to be just below five per cent at the end of 2019, while he estimates that a full employment rate in Australia equates to a jobless rate of about 4.5 per cent. Meanwhile, the majority of "shadow" indicators, including Roy Morgan’s household survey, point towards an inflection higher in the official jobless rate.

CORPORATES
MACQUARIE GROUP LIMITED – ASX MQG, ROY MORGAN LIMITED, WESTPAC BANKING CORPORATION – ASX WBC, RESERVE BANK OF AUSTRALIA

Frustrated CITIC drags WA into Palmer stoush

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Original article by Brad Thompson
The Australian Financial Review – Page: 20 : 23-Oct-18

CITIC is pursuing Federal Court action in a bid to end the long-running stand-off with Clive Palmer’s Mineralogy over the Sino Iron magnetite project in Western Australia. China-based CITIC is seeking new approvals for the project, as well as additional land to use for tailings and waste storage. Perth-based subsidiary CITIC Pacific Mining has argued that the additional approvals are needed to allow mining and processing at the site to continue. CITIC’s claims have been disputed by Mineralogy.

CORPORATES
CITIC LIMITED, MINERALOGY PTY LTD, SINO IRON PTY LTD, CITIC PACIFIC MINING MANAGEMENT PTY LTD, KOREAN STEEL PTY LTD, FEDERAL COURT OF AUSTRALIA, SUPREME COURT OF WESTERN AUSTRALIA

Morrison in bid for unity on energy

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Original article by Joe Kelly, Ben Packham
The Australian – Page: 1 & 6 : 23-Oct-18

The federal government will establish a price benchmark for electricity retailers, which was a key recommendation of the Australian Competition & Consumer Commission’s review of electricity prices. The "default market offer" rate will take effect from mid-2019, and is part of the government’s commitment to reducing power bills. Meanwhile, National Party MP Keith Pitt rejects suggestions that the Coalition’s climate change policy was the main cause of its poor performance in the Wentworth by-election.

CORPORATES
AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, NATIONAL PARTY OF AUSTRALIA, LIBERAL PARTY OF AUSTRALIA, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, AUSTRALIA. DEPT OF THE ENVIRONMENT AND ENERGY, AUSTRALIAN LABOR PARTY, AUSTRALIA. OFFICE OF THE CHIEF SCIENTIST, AUSTRALIAN ENERGY REGULATOR, AUSTRALIA. DEPT OF INDUSTRY, INNOVATION AND SCIENCE

Libs millions shy in campaign fighting funds

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Original article by Andrew Clennell
The Australian – Page: 7 : 23-Oct-18

The Liberal Party is estimated to have spent about $1m on contesting the Wentworth by-election, while independent candidate Kerryn Phelps is believed to have had a campaign budget of about $300,000. Sources within the Liberal Party have indicated that it is still well short of the campaign funding target it requires for the 2019 federal election, following a number of other by-elections in recent months. Phelps holds a 1,626-vote lead over Liberal candidate Dave Sharma, with 51.11% of the vote on a two-party preferred basis at 6pm on Monday. Phelps has ruled out claiming victory until all votes are counted.

CORPORATES
LIBERAL PARTY OF AUSTRALIA

Why Coronado was shunned by big fundies

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Original article by Peter Ker
The Australian Financial Review – Page: 17 : 23-Oct-18

Many Australian fund managers chose not to participate in the IPO of Coronado Global Resources, forcing private equity firm Energy & Minerals Group to scale back the size of the raising and the issue price of Coronado share. Some resources-focused fund managers are said to have taken the view that Coronado’s offer price was less compelling than similar IPOs, while its commitment to pay out all free cash flows in its first year as dividends is also believed to have been a concern.

CORPORATES
CORONADO GLOBAL RESOURCES INCORPORATED – ASX CRN, ENERGY AND MINERALS GROUP, SHAW AND PARTNERS LIMITED, JANUS HENDERSON GROUP PLC – ASX JHG, PEABODY ENERGY CORPORATION

‘We’re in the eighth inning’: Oaktree chief wary of bull run

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Original article by David Rogers
The Australian – Page: 17 & 28 : 23-Oct-18

Oaktree Capital Management’s co-founder Howard Marks says current financial market conditions favour a defensive investment style. Marks warns that although the bull market may continue for some time yet, the chances of a bear market are increasing. He describes quantitative easing in the wake of the global financial crisis as a "massive experiment" that succeeded, but he says the impact of quantitative tightening is uncertain.

CORPORATES
OAKTREE CAPITAL MANAGEMENT LLC, CITICORP, STANDARD AND POOR’S 500 INDEX, SHANGHAI COMPOSITE INDEX, MSCI EMERGING MARKETS INDEX

Seven and News explore co-pros and marketing

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Original article by Max Mason
The Australian Financial Review – Page: 28 : 22-Oct-18

Seven West Media and News Corp Australia have a history of co-productions and marketing initiatives, and they are looking at further projects in these areas. A spokesperson for Seven notes that the two companies have been involved in marketing initiatives in the past, while it produced "A Place Called Home" for Foxtel for four seasons. Seven and News also work together in Western Australia, where Seven prints some of News Corp’s papers. Seven CEO Tim Worner said in August that it and News Corp would seek to strengthen their commercial ties following the announcement that Nine Entertainment would merge with Fairfax Media.

CORPORATES
SEVEN WEST MEDIA LIMITED – ASX SWM, NEWS CORP AUSTRALIA PTY LTD, NEWS CORPORATION – ASX NWS, FOXTEL MANAGEMENT PTY LTD, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, FAIRFAX MEDIA LIMITED – ASX FXJ

Counting the costs of ACTU’s campaign

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Original article by Samantha Hutchinson
The Australian – Page: 2 : 22-Oct-18

Masters Builders Australia estimates that a six-day campaign of industrial action by unions will have a direct and indirect cost to the national economy of up to $250m. Unions forecast that rallies to be held in Sydney and Melbourne will be attended by up to 150,000 workers in each city, and the Australian Chamber of Commerce & Industry warns that this could result in the loss of some 450,000 working hours and 50,000 working days. Rallies will be held in Melbourne, Sydney, Darwin and six regional cities on 23 October, as part of the ACTU’s "Change The Rules" campaign.

CORPORATES
MASTER BUILDERS AUSTRALIA INCORPORATED, AUSTRALIAN CHAMBER OF COMMERCE AND INDUSTRY, ACTU, AUSTRALIAN MINES AND METALS ASSOCIATION (INCORPORATED), AUSTRALIA. FAIR WORK OMBUDSMAN, AUSTRALIAN BUILDING AND CONSTRUCTION COMMISSION, DELOITTE ACCESS ECONOMICS PTY LTD, PATRICK STEVEDORES HOLDINGS PTY LTD

Coronado pushes past IPO blow

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Original article by James Frost
The Australian Financial Review – Page: 18 : 22-Oct-18

Coronado Global Resources is slated to commence trading on the Australian sharemarket on 23 October. The IPO raised $774m and was oversubscribed, although Coronado had scaled back the size of the offering from an initial target of $1.4m. Metallurgical coal accounted for about 75 per cent of Coronado’s total production in 2017. The company owns coal mines in Queensland’s Bowen Basin and the US state of Virginia. Energy & Minerals Group (EMG) will retain a stake of up to 78.9 per cent in Coronado.

CORPORATES
CORONADO GLOBAL RESOURCES INCORPORATED – ASX CRN, ENERGY AND MINERALS GROUP, THE GOLDMAN SACHS GROUP INCORPORATED, UBS HOLDINGS PTY LTD, CREDIT SUISSE (AUSTRALIA) LIMITED, BELL POTTER SECURITIES LIMITED, HERBERT SMITH FREEHILLS PTY LTD, SULLIVAN AND CROMWELL, WHITEHALL ASSOCIATES, NEW HOPE COAL AUSTRALIA, YANCOAL AUSTRALIA LIMITED – ASX YAL