Thousands shut up shop as company collapses hit record

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Original article by Matt Bell
The Australian – Page: 13 & 14 : 21-Jan-25

Data from the Australian Securities & Investments Commission shows that 7,483 companies were declared insolvent in the six months to December 2024. This is 47.1 per cent higher than the same period in 2023. Jarvis Archer from Business Reset says insolvencies are 84 per cent higher than prior to the COVID-19 pandemic; he adds that the number of companies going into administration could potentially top 16,000 in the year to June 2025. The previous annual record of 11,053 insolvencies was set in 2023-24. The ASIC data shows that insolvency appointments in the construction sector rose by 29.6 per cent year-on-year in the first half of 2024-25, while insolvencies in the hospitality sector have increased by 70.2 per cent.

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AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, BUSINESS RESET PTY LTD

Roy Morgan Poll: Coalition lead over ALP strengthens in mid-January: L-NP 52% cf. ALP 48%

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Original article by Roy Morgan
Market Research Update – Page: Online : 21-Jan-25

A Coalition Government, with a slim majority, would now win a Federal Election with a marginally improved two-party preferred vote from last week: L-NP 52% (up 0.5%) cf. ALP 48% (down 0.5%), the latest Roy Morgan survey finds. Primary support for the Coalition increased 1.5% to 42% at the expense of the ALP, down 1.5% to 28.5%. Support for the Greens was up 0.5% to 13%, One Nation was down 0.5% to 4%, Other Parties were up 0.5% to 4% while Independents dropped 0.5% to 8.5%. The rising level of anti-Semitic attacks has raised questions about how seriously the Albanese Government is taking the issue. The Coalition is clearly benefiting from the strong stance it has taken in condemning these actions forthrightly and consistently under Opposition Leader Peter Dutton.

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ROY MORGAN LIMITED, MORGAN POLL, AUSTRALIAN LABOR PARTY, LIBERAL PARTY OF AUSTRALIA, NATIONAL PARTY OF AUSTRALIA, AUSTRALIAN GREENS, ONE NATION PARTY

Trump sworn in as 47th president as US braces for a new era of disruption and division

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Original article by Joan E Greve, David Smith, Robert Tait
The Guardian – Page: Online : 21-Jan-25

US President Donald Trump has used his inauguration address to state that "America’s decline is over" and the nation’s golden age "begins right now". Trump also vowed to "put America first" during every single day of his second administration. He took the oath of office from the Supreme Court’s chief justice John Roberts indoors due to sub-zero temperatures in Washington DC, and in the presence of the nation’s four other surviving presidents. Meanwhile, Trump’s aides have indicated that one of his first acts as the 47th president will be to sign 10 executive orders, which will primarily focus on immigration-related issues.

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UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT

Seeds of positivity for Albanese-Trump relationship: ex-envoy

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Original article by Joe Kelly
The Australian – Page: 1 & 9 : 21-Jan-25

Australia’s ambassador to Washington, Dennis Richardson, says comments by Marco Rubio are a promising sign that the relationship between new US President Donald Trump and Prime Minister Anthony Albanese will be a positive one. Rubio, the incoming US secretary of state, recently backed the AUKUS security agreement, while Richardson says there could be uncertainties in the trade relationship between the US and Australia. Foreign Minister Penny Wong says she will lobby for Australia to be exempt from any US tariffs while she is in Washington for Trump’s inauguration; she notes that the US has had a trade surplus with Australia since the time of President Truman.

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AUSTRALIA. DEPT OF FOREIGN AFFAIRS AND TRADE, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET

Rio counts cost as Pilbara iron ore operations are flooded

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Original article by Brad Thompson
The Australian – Page: 15 : 21-Jan-25

Rio Tinto states it is still assessing the impact of Cyclone Sean on its iron ore operations in the Pilbara, with a spokesman noting that its port and rail infrastructure had been hit by flooding. Observing that Rio’s first priority is the safety of its workers, the spokesman noted that the town of Karratha had experienced 274mm of rain in a 24-hour period. The flooding comes less than a week after Rio disclosed that heavy rain had impacted its iron ore operations in the December quarter and forced it to make use of stockpiles, while it has remained silent about any discussions it may have held with Glencore about a merger between the two big mining companies

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RIO TINTO LIMITED – ASX RIO, GLENCORE PLC

Optus may sell sports streaming to Nine

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Original article by Zoe Samios
The Australian Financial Review – Page: 11 : 21-Jan-25

Sources have indicated that Optus has sought expressions of interest from potential buyers of its sports streaming platform. Amongst other things, Optus Sport holds the Australian broadcasting rights to the English Premier League and the Women’s Super League. The potential buyers that Optus has approached are said to include Nine Entertainment, which owns the rival Stan Sport streaming service. Optus is believed to be keen to focus on its core telecommunications business amid growing competition in the streaming sector and the rising cost of broadcasting rights.

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SINGTEL OPTUS PTY LTD, OPTUS SPORT, NINE ENTERTAINMENT COMPANY HOLDINGS LIMITED – ASX NEC, STAN SPORT

Supply glut could slash iron ore price

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Original article by Alex Gluyas
The Australian Financial Review – Page: 19 : 21-Jan-25

The iron ore price recently peaked at over $US104 per tonne, in response to data showing that there has been strong growth in China’s stockpiles of the steel input. Goldman Sachs expects a further sharp increase in stockpiles at Chinese ports over the next two years. The firm says this will weigh on the iron ore price, forecasting that it will fall to $US95/tonne this year and $US90 in 2026. Westpac is more bearish, forecasting that iron ore could potentially fall to around $US70 in 2025 as Rio Tinto boosts global supply.

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THE GOLDMAN SACHS GROUP INCORPORATED, WESTPAC BANKING CORPORATION – ASX WBC

Unions build case for same job, same pay

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Original article by Euan Black
The Australian Financial Review – Page: 7 : 21-Jan-25

The Mining & Energy Union and the Australian Manufacturing Workers’ Union are testing the federal government’s ‘same work, same pay’ laws in the Federal Court. They want workers at three BHP mines who are employed either by labour hire firms or BHP units and who are doing the same jobs as people directly employed by BHP to be paid the same amount, with the federal court hearing the difference in pay between those directly employed by BHP and those who are not being but are performing the same role can be as much as $49,000 a year. Should BHP lose the case, its estimates suggest it will have to pay an extra $1.3 billion a year.

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MINING AND ENERGY UNION, AUSTRALIAN MANUFACTURING WORKERS’ UNION, FEDERAL COURT OF AUSTRALIA, BHP GROUP LIMITED – ASX BHP

In December Australian unemployment increased to 9.7% as overall employment dropped by 150,000

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Original article by Roy Morgan
Market Research Update – Page: Online : 15-Jan-25

In December 2024, Australian ‘real’ unemployment increased by 180,000 to 1,542,000 (up 1.1% to 9.7% of the workforce), with many fewer people in part-time employment following the Black Friday sales period in November. In addition to the unemployed, a further 1.68 million Australians (10.6% of the workforce) were under-employed, i.e. working part-time but looking for more work (up 132,000 from November to a new record high). In total, 3.22 million Australians (20.3% of the workforce) were either unemployed or under-employed in December; this is the highest combined figure since August 2020. Meanwhile, Australian employment fell by 154,000 to 14,276,000; this decrease was driven by a fall in part-time employment (down 210,000 to 4,953,000 following the Black Friday sales period), while full-time employment increased by 56,000 to 9,323,000. The total workforce in December was 15,818,000 (up 26,000 from November, and up 866,000 from two years ago). Roy Morgan’s unemployment figure of 9.7% is clearly more than double the ABS estimate of 3.9% for November, but it is approaching the combined ABS unemployment and under-employment figure of 10.3%.

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ROY MORGAN LIMITED, AUSTRALIAN BUREAU OF STATISTICS

ANZ-Roy Morgan Consumer Confidence virtually unchanged at 87.1 in mid-January as buying sentiment softens

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Original article by Roy Morgan
Market Research Update – Page: Online : 15-Jan-25

ANZ-Roy Morgan Consumer Confidence was virtually unchanged at 87.1 in mid-January, sustaining most of the traditional ‘New Year’s bump’. Consumer Confidence is now 2.7 points above the same week a year ago (84.4), and 4.2 points above the 2024 weekly average of 82.9. A look at Consumer Confidence by State shows small increases in New South Wales, Western Australia and South Australia, a decline in Victoria and unchanged in Queensland. Now 22% of Australians (up 1ppt) say their families are ‘better off’ financially than this time last year, while 49% (up 3ppts) say their families are ‘worse off’. Looking forward, 34% (up 1ppt) of Australians expect their family to be ‘better off’ financially this time next year, while 28% (down 1ppt) expect to be ‘worse off’ (the lowest figure for this indicator since January 2023). Now 10% (up 1ppt) of Australians expect ‘good times’ for the Australian economy over the next 12 months, while 29% (unchanged) expect ‘bad times’. Meanwhile, 27% (down 1ppt) of Australians say now is a ‘good time to buy’ major household items, while 46% (up 4ppts) say now is a ‘bad time to buy’.

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