Latest updates on Key Economic Indicators

Australian Dollar: $0.7130 USD (up $0.0059 USD)

Iron Ore Oct Spot Price (SGX): $116.95 USD (up $2.39 USD)

Oil Price (WTI): $39.11 USD (down $1.48 USD)

Gold Price: $1,897.08 (up $15.44 USD)

Dow Jones: 27,452.66 (down 131.4 points)

All changes compared to 7am yesterday.

The first Biden-Trump presidential debate

Donald Trump could face the most direct challenge of his presidency to his handling of the coronavirus pandemic, the economy and his personal conduct in his first debate against Democratic nominee Joe Biden on Tuesday.

Trump and Biden meet tonight in Cleveland for their first of three debates -- a socially distanced affair in which the candidates won't shake hands. Fox News host Chris Wallace is the moderator.

The audience, at about 70, will be limited compared with previous debates, and everyone attending the event at Case Western Reserve University will undergo testing for Covid-19 and follow other health safety protocols.

The debate is set for 9 p.m. Eastern time, and will last 90 minutes without any commercial breaks. The topics for the debate are "The Trump and Biden Records," "The Supreme Court," "Covid-19," "The Economy," "Race and Violence in our Cities" and "The Integrity of the Election," according to the Commission on Presidential Debates.

Each segment will last about 15 minutes, and the candidates will have two minutes to respond after the moderator opens each segment with a question. Wallace will then use the rest of the time in the segment to facilitate further discussion on the topic, according to the commission

Donnie's $750 tax bill

On the eve of the debate, Biden got a sizable cudgel to use against Trump.

The New York Times reported on Sunday night that Trump had paid no income taxes in 10 of the 15 years beginning in 2000. And in both the year he won the presidency and his first year in the White House, Trump paid just $750 in federal income taxes, an impossibly low rate.

Biden's campaign quickly jumped on the news, producing a digital ad highlighting how teachers, firefighters and nurses all pay, on average, significantly more in federal income taxes than Trump. And top Democratic operatives believe Biden will use the revelation to attack the President during the debate.

The story is a gift for Biden, whose campaign has been running on populist rhetoric that casts Trump as out of touch with average Americans.

The strategy is highlighted by Biden's recent attempts to frame the campaign as "Scranton vs. Park Avenue," touting himself as the candidate in touch with working Americans because he was born and raised in Scranton, Pennsylvania, and attended state schools and Trump as out of touch because he is most associated with wealthy midtown Manhattan.

Trump has dismissed the focus on his taxes by both denying The New York Times report, despite the newspaper having the tax returns, and arguing that most people don't care about the issue. That tactic will be challenged on Tuesday.

ANZ-Roy Morgan Consumer Confidence increases for fourth straight week, up 1.5pts to 95.0 - driven by increases in Sydney & Perth but down 4.8 points in Melbourne to 86.9

Market Research Update - Page Online : 30 September 2020 - Original article by Roy Morgan - PortMac.News Summary

ANZ-Roy Morgan Consumer Confidence rose 1.5pts to 95.0 on the weekend of September 26/27.

It is now 19.7pts lower than a year ago (114.7), but above the 2020 weekly average of 93.7. Consumer Confidence has now increased for four straight weeks and is up 4.8pts since ending August at 90.2.

Now 24% (up 1ppt) of Australians say their families are 'better off' financially than this time last year, while 35% (unchanged) say their families are 'worse off' financially.

In addition, 33% (down 1ppt) of Australians expect their family to be 'better off' financially this time next year, and 18% (down 1ppt) expect to be 'worse off' financially.

Only 8% (up 1ppt) expect 'good times' for the Australian economy over the next 12 months (the highest figure for this indicator since June 20/21) while 38% (down 5ppts), expect 'bad times' (the lowest figure for this indicator since June 13/14).

Meanwhile, 34% (down 1ppt) of Australians say now is a 'good time to buy' major household items, while 35% (unchanged) say now is a 'bad time to buy'. [Click to view full article here]

PM's promise: Take your fruit pickers

The Australian - Page 1 & 6 : 30 September 2020 - Original article by Rosie Lewis - PortMac.News Summary

The federal government's Budget on 6 October will include measures aimed at addressing a labour shortage in the agricultural sector.

Amongst other things, the government will allow JobSeeker and Youth Allowance recipients to earn up to $300 per fortnight from working on farms without affecting their welfare payments.

The government is also expected to relax the visa rules for overseas visitors on working holidays to allow them to remain in Australia to pick fruit and other crops.

New research by Ernst & Young shows that the horticultural sector faces a shortage of up to 26,000 seasonal workers in the near-term.

Nine 'Health hotel' staff have tested positive since isolation overhaul

The Australian - Page 5 : 30 September 2020 - Original article by Rachel Baxendale - PortMac.News Summary

Victoria's Department of Justice & Community Safety has confirmed that nine people who worked at two quarantine hotels in Melbourne's CBD have contracted COVID-19 since late July.

However, a spokeswoman says the majority of the coronavirus cases have been attributed to community transmission, and none have been linked to the hotels in question.

The spokeswoman has added that no active cases are linked to the two hotels. Five of the hotel staff worked for cleaning and catering contractor Spotless Group.

Momentum gathers for COVID-19 prosecutions

The Australian - Page 20 : 30 September 2020 - Original article by Robert Gottliebsen - PortMac.News Summary

Victoria's hotel quarantine program could potentially result in government ministers being prosecuted under the state's Occupational Health and Safety Act.

A group of OHS lawyers have used the transcripts from the inquiry into the program to conclude that four ministers and 16 public servants should be prosecuted, as well as four government departments, the Trades Hall Council and the state of Victoria itself.

Self-Employed Australia's executive director Ken Phillips has written to WorkSafe requesting the prosecutions. If WorkSafe boss Colin Radford chooses not to prosecute, the OHS Act requires him to explain his reasons for doing so.

End port extortion now, Morrison tells wharfies

The Australian - Page 1 & 6 : 30 September 2020 - Original article by Rosie Lewis - PortMac.News Summary

Stevedoring firm Patrick and the Maritime Union of Australia will hold mediation talks at the Fair Work Commission on 30 September in an attempt to end industrial action at the nation's ports.

The MUA is seeking an annual wage rise of six per cent, but Sydney branch secretary Paul McAleer says a 2.5 per cent increase would be agreeable. The industrial action has disrupted supplies of imported goods, prompting Prime Minister Scott Morrison to accuse the MUA of a "campaign of extortion" against Australians during the coronavirus-induced recession.

He has downplayed the prospect of the federal government intervening by deploying Australian Defence Force personnel at strike-affected ports.

Renowned economist rails against small business tax discounts

The New Daily - Page Online : 30 September 2020 - Original article by Killian Plastow - PortMac.News Summary

Independent economist Saul Eslake says tax concessions for small businesses have done little to boost jobs growth since they were introduced in 2015.

He argues that small businesses have in fact shed jobs over the last five years. Eslake has called for the tax concessions to be scrapped and redirected to start-up businesses, arguing that this would create more jobs, encourage innovation and help the Australian economy to recover from the coronavirus-induced recession.

Professor Richard Holden from the University of New South Wales has in turned called for a flat company tax rate of 25 per cent for businesses of all sizes.

New York region sees 40% bankruptcy surge, braces for more

Bloomberg - Page Online : 30 September 2020 - Original article by Josh Saul, Henry Goldman - PortMac.News Summary

The coronavirus pandemic resulted in the closure of nearly 6,000 businesses across New York City between March and mid-September, and data from Yelp shows that more of 4,000 of them will not reopen.

There has been a 40 per cent increase in bankruptcy filings since the health crisis began, and insolvency lawyer Al Togut has warned of a looming 'avalanche' of bankruptcies as winter approaches.

Meanwhile, the Partnership for New York City business group estimates that up to a third of New York's 230,000 businesses could permanently close due to the pandemic.

The state of New York is also experiencing a spike in new coronavirus cases. [Click to view full article here]

Stocks flat ahead of US presidential debate

The Australian - Page 19 : 30 September 2020 - Original article by Samantha Bailey - PortMac.News Summary

The Australian sharemarket was steady on 29 September, with the S&P/ASX 200 closing marginally lower at 5,952.1 points.

Rio Tinto was down 0.8 per cent at $95.82, Westpac was 1.3 per cent lower at $17.16 and A2 Milk shed four per cent to end the session at $14.59. However, Fortescue Metals Group was up 1.9 per cent at $16.16 and Oil Search added 1.5 per cent to finish at $2.79.

BoQ braces for 'years' of property pain

The Australian - Page 13 & 17 : 30 September 2020 - Original article by Cliona O'Dowd - PortMac.News Summary

The Bank of Queensland has increased its pre-tax coronavirus-related bad debt provisions for 2019-20 to $133m, up from $71m just two months ago. 

The regional lender has also advised that it expects to book total loan impairment expenses of $175m before tax for the financial year.

Meanwhile, BoQ is bearish about the outlook for the Australian economy and the property market; its base-case scenario for 2020 is a six per cent fall in GDP and an unemployment rate of 10 per cent, with house prices falling by 11 per cent from peak-to-trough and commercial property down 15 per cent.

BoQ shares closed 7.2 per cent lower at $5.89 on 29 September.

Mortgage brokers poised to seize market share

The Australian - Page 19 : 30 September 2020 - Original article by David Rogers - PortMac.News Summary

Citigroup analyst Brendan Sproules expects mortgage brokers' share of Australia's new housing finance market to increase to 60 per cent in coming years.

He says the sector has been growing since the May 2019 federal election and has rebounded from the 'existential threat' of the Hayne royal commission.

Citigroup has 'buy' ratings on Australian Finance Group and Mortgage Choice, after initiating coverage of the sector.

Sproule has identified AFG as his preferred stock, noting that its valuation is 'compelling'.

On the shop floor at Toll, crime was big business

The Australian Financial Review - Page 1 & 36 : 30 September 2020 - Original article by Aaron Patrick - PortMac.News Summary

Eight former Toll Holdings executives have revealed detailed of the corruption, financial problems and governance failings at the logistics group in the years before it was acquired by Japan Post in 2015.

Amongst other things, the executives have outlined how crime gangs had infiltrated Toll's Melbourne distribution centre and a scam whereby shipping pallets would be stolen from Toll facilities and then leased back to the company.

Meanwhile, a Toll spokeswoman has denied claims that the company had been poised to announce a massive profit downgrade when Japan Post agreed to pay $6.5bn for the company.

It is now seeking a buyer for Toll.

COVID-19 forced NBN upgrade: Rue

The Australian Financial Review - Page 9 : 30 September 2020 - Original article by James Fernyhough - PortMac.News Summary

The recently-announced $4.5bn upgrade to the national broadband network had been planned from the outset, according to NBN Co CEO Stephen Rue.

He says the increased demand for high-speed broadband services during the coronavirus pandemic had simply prompted the company to accelerate plans to roll out fibre-to-the-premises connections to more homes and businesses. Rue adds that NBN Co had initially intended to commence the upgrade via future cashflows from around 2023.

TV is the big winner for news during lockdown

Market Research Update - Page Online : 30 September 2020 - Original article by Roy Morgan - PortMac.News Summary

New research from Roy Morgan shows that over 13.1 million Australians (62.4%) said TV was a main source of news during the June quarter, up from 12.6 million (60.0%) during the March quarter.

TV emerged as the favoured news source during the period of lockdown for more Australians than any other, as over 4.3 million Australians were sent to work from home in March.

Other sources of news were led by the Internet, used by over 11.2 million Australians (53.4%) - including 6.4 million (30.5%) using Social Media; this was followed by Radio (nominated by 6 million, or 28.5%), news or newspaper website/apps (mentioned by 5.8 million, or 27.6%) and printed newspapers (named by 3.8 million, or 18%).

Within the broader category of the internet over 3.3 million Australians (15.7%) used news feed sites such as Google News, Apple News, Feedly etc., a further 1.6 million (7.4%) used email subscriptions or updates and 1.4 million (6.9%) use other websites or apps.

Some 940,000 (4.5%) used magazines (printed, website or app) as a main source of news. These findings are drawn from the Roy Morgan Single Source survey, Australia's most comprehensive consumer survey, derived from in-depth interviews with 50,000 Australians each year. [Click to view full article here]

'Bigfoot Ben' is filling Alan's shoes nicely

The Australian - Page 3 : 30 September 2020 - Original article by Lilly Vitorovich - PortMac.News Summary

The latest radio ratings survey shows that 2GB now has an audience share of 17.3 per cent in Sydney's breakfast slot.

This is just 0.6 per cent lower than the previous ratings survey, when broadcasting veteran Alan Jones was hosting the breakfast program.

Nine Radio had expected 2GB's audience share to fall as low as 12 per cent following the switch to new host Ben Fordham.

Media CEO Brendon Hill on fresh starts, branding and leaving Bauer Media behind

Mumbrella - Page Online : 30 September 2020 - Original article by Hannah Blackiston - PortMac.News Summary

The last nine months have been challenging for Are Media, with redundancies, the closure of some long-established magazine titles and its takeover by Mercury Capital.

Are Media was formerly known as Bauer Media, and CEO Brendon Hill says the rebranding is a "chance at a fresh start" for the magazine publisher. 

Hill says the new branding - which reflects its core principles of audience, reach and engagement - was selected from an initial list of about 300 options, with employees across its operations being involved in the process. [Click to view full article here]

'Licence to operate' drives mining risks: E&Y

The Australian - Page 19 : 30 September 2020 - Original article by Perry Williams - PortMac.News Summary

Ernst & Young's latest survey of global mining industry executives shows that 63 per cent of respondents consider that retaining a 'licence to operate' is one of the top three risks for the sector.

Paul Mitchell of EY says mining companies that recognise the nature of a licence to operate are the ones that will be successful.

He notes that pension funds are now among the major shareholders of mining companies, and the backlash over Rio Tinto's destruction of ancient rock shelters in the Pilbara shows that these investors will become increasingly active in holding miners and their executives to account.

Palaszczuk accused of hypocrisy on mining

The Australian - Page 2 : 30 September 2020 - Original article by Michael McKenna - PortMac.News Summary

Pembroke Resources is slated to produce about 15 million tonnes of metallurgical coal a year at its Olive Downs mine after the project was approved by the Queensland government.

However, New Hope Corporation's COO Andrew Boyd has accused the government of double standards over its refusal to approve an expansion of the Acland mine, given that both projects are subject to legal challenges.

The Olive Downs project is located in a seat that the Labor government could potentially lose at the upcoming state election on 31 October.

Rio Tinto settles with whistleblower

The Australian Financial Review - Page 19 : 30 September 2020 - Original article by Peter Ker - PortMac.News Summary

Rio Tinto has agreed to settle an unfair dismissal claim by Richard Bowley, who was sacked in 2019.

He had been a general manager at the Oyu Tolgoi copper mine in Mongolia, and had told a Rio Tinto executive in July 2018 that the expansion of the mine was 12 months behind schedule and $US300m over budget.

Rio Tinto subsequently informed investors in October 2018 that the expansion project was on budget and on schedule. Just weeks later Rio Tinto admitted that initial production could be delayed. Bowley's case was to have been heard by a British tribunal in early October.

BHP's Colombian coal mine under fire from UN

The Australian Financial Review - Page 19 : 30 September 2020 - Original article by Peter Ker - PortMac.News Summary

A United Nations expert has called for BHP to close its Cerrejon thermal coal mine in Colombia due to its effect on air and water quality in nearby communities

David Boyd, the UN's Special Rapporteur for Human Rights and the Environment, has expressed concern that pollution from the mine could contribute to the spread of COVID-19 among indigenous people in the region.

The mine is jointly owned by BHP, Glencore and Anglo American; both BHP and Anglo have indicated that they will seek to sell their stakes.