Latest updates on Key Economic Indicators:

Australian Dollar: $0.7172 USD (down $0.0070 USD)

Iron Ore Feb Spot Price (SGX): $137.45 USD (up $3.75 USD)

Oil Price (WTI): $85.14 USD (down $1.15 USD)

Gold Price (21 Jan): $1,834.58 USD (down $5.59 USD)

Gold Price (24 Jan): $1,831.80 USD (down $2.78 USD)

Copper Price (CME): $4.5205 (down $0.0335 USD)

Bitcoin: $35,208.22 (down 17.98%)

Dow Jones: 34,265.37 (down 450.02 points on Thursday's close)

All changes compared to 7am Friday, except gold.

US creating 'Global' strategy to increase gas production if Russia invades Ukraine

The Biden administration has been in regular discussions with a number of countries and companies in Europe, the Middle East, North Africa and Asia about stepping up production of liquified natural gas to Europe in the event that a Russian invasion of Ukraine leads to gas shortages, multiple US officials familiar with the discussions said.

The State Department, led by Senior Adviser for Energy Security Amos Hochstein, has in the last six to eight weeks been putting together a global strategy exploring contingency options to redirect and increase gas supplies from different parts of the world, a senior US official said.

Hochstein has been in talks with energy companies but that increased production was not a request reports say.

The countries engaging in the talks include Norway and Qatar, the official said, but the US' outreach has been "Truly global" as Washington and allies determine what supplies will be needed to get through the winter and spring if there are gas shortages.

Biden to visit Japan for Quad leaders summit

The Australian Financial Review - Page 10 : 24 January 2022 - Original article by Michael Smith - PortMac.News Summary

US President Joe Biden and Japanese Prime Minister Fumio Kishida have held a virtual meeting, during which Biden accepted an invitation to visit Tokyo to meet with other leaders of the Quadrilateral Security Dialogue.

Kishida and Biden were due to meet in person in Washington, but Kishida was forced to cancel his visit because of the pandemic.

The Quad leaders' summit is likely to be held in April or May, with its timing likely to take the federal election in Australia into account; Prime Minister Scott Morrison must call an election by May.

Economists brace for inflation 'Upside surprise'

The Australian Financial Review - Page 3 : 24 January 2022 - Original article by Jonathan Shapiro - PortMac.News Summary

 The release of quarterly inflation data on Tuesday may affect the timing of the Reserve Bank of Australia's tightening of monetary policy.

The consensus among economists is that the RBA's preferred measure of core inflation rose by 0.7% in the December quarter and by 2.4% in the year to December.

This would be the highest annualised inflation rate since the September 2014 quarter.

ANZ economists say that the inflation data and the latest jobs figures may prompt the RBA to end quantitative easing in February, while the first interest rate rise could potentially be brought forward to 2022.

Omicron 'peak' a recovery launch pad

The Australian - Page 1 & 5 : 24 January 2022 - Original article by Rachel Baxendale - PortMac.News Summary

The latest COVID-19 hospitalisation rates in New South Wales and Victoria have raised hopes that the Omicron wave may have peaked in Australia's two largest states.

The number of people in NSW hospitals peaked at 2,863 last Wednesday, but this fell to 2,712 on Sunday; hospitalisations in Victoria peaked at 1,229 last Monday, but now total 1,002.

The number of COVID-19 patients receiving intensive care has also fallen in both states, to 189 in NSW and 120 in Victoria.

NSW reported 20,324 new COVID-19 cases and 34 deaths from the current outbreak on Sunday, while Victoria reported 13,091 new cases and 14 deaths.

Meanwhile, federal Treasurer Josh Frydenberg is upbeat about the economic outlook in the post-Omicron environment.

States unite on virus-safe schools of thought

The Australian - Page 5 : 24 January 2022 - Original article by Nicholas Jensen - PortMac.News Summary

NSW and Victoria are adopting very similar strategies when it comes to getting children back into classrooms for the start of the 2022 school year.

Primary and secondary schools in NSW will receive six million rapid antigen test kits by Australia Day, with staff and students to get two kits a week to ensure that schools do not have to close because of a positive COVID-19 case.

The Victorian government will deliver 6.6 million kits to schools and early childhood centres prior to 31 January, while the higher risks associated with vulnerable students will see specialist school students and staff in Victoria have to be tested five times a week

Lockdown toll on mental health put at $13 billion

Brisbane Times - Page Online : 24 January 2022 - Original article by Matt Wade - PortMac.News Summary

Modelling undertaken by Lateral Economics indicates that increased mental illnesses during COVID-19 lockdowns in 2020 and 2021 resulted in a $13.3 billion 'hit' to Australia's well-being, with over half of this impact being felt in Victoria.

Lateral Economics' modelling also indicates that school-age children will forgo $1.73 billion in human capital development as a result of home learning and other COVID-19 disruptions, while the cost to Australia's wellbeing in 2021 as a result of the negative effects of climate change was put at $640 million.

How good is Covid now that no one seems to care?

The Weekend Australian - Page 19 : 22 January 2022 - Original article by Katrina Grace Kelly - PortMac.News Summary

Nobody in Australia seems to care about COVID-19 anymore, apart perhaps from people who might need to go into hospital because of an injury or illness.

Australia's recent surge in COVID-19 cases because of the Omicron strain has seen it placed on the US's level four travel advisory list for the first time, while its case rate as a percentage of the population is at around 6.3%, compared to 4.7% in the US.

Australians have lost confidence in the authorities to manage COVID-19, while consumer confidence is at its lowest January point since 1992.

Defamation experts reject Morrison government's 'Anti-troll' proposal

The Sydney Morning Herald - Page Online : 24 January 2022 - Original article by Michaela Whitbourn - PortMac.News Summary

Prime Minister Scott Morrison and Attorney-General Michaelia Cash have previously announced plans to amend defamation laws so as to target internet trolls.

However, defamation experts contend in a submission to the government's draft legislation that it will likely make it harder to get defamatory posts removed, be a waste of court time, and will result in increased legal costs.

The submission suggests the legislation will provide online platforms with "immunity - not accountability".

It also states that if the government wants to clamp down on online bullying, that it should do so "Without interfering in defamation laws".

Nauru offshore regime to cost Australian taxpayers nearly $220m over next six months

The Guardian Australia - Page Online : 24 January 2022 - Original article by Ben Butler - PortMac.News Summary

Brisbane company Canstruct International has had its contract to run offshore processing of asylum seekers on the island of Nauru for an eighth time.

The latest contract extension is for six months and is valued at $218.5 million; it brings the total value of Canstruct's contract to over $1.8 billion.

There are now just over 100 asylum seekers and refugees at the detention centre on Nauru, and it currently costs over $4 million a year for each person held there.

Litigation reforms 'Bad for Quiet Australians'

The Australian - Page 4 : 24 January 2022 - Original article by Jess Malcolm - PortMac.News Summary

The federal government is seeking to clamp down on the growing number of class actions in Australia, with legislation that aims to limit the fees charged by lawyers and the commissions collected by litigation funders.

It would see the profits of class action funders and lawyers capped at 30% of any settlement.

A group of litigation funders have joined forces to lobby against the legislation, claiming that 90% of class actions would not be viable if it is passed.

'Accounting sham': transport body set up to improve NSW's budget bottom line could need $4.1bn injection

The Guardian Australia - Page Online : 24 January 2022 - Original article by Michael McGowan - PortMac.News Summary

NSW Auditor-General Margaret Crawford has signed off on the state's financial statements after a three month- delay.

The delay was due to her having "Significant accounting issues" with the Transport Asset Holding Entity (Tahe), which holds $40 billion in rail assets.

This resulted in the NSW government injecting $1.1 billion into the state's transport system to meet Crawford's concerns.

The government established the Tahe to improve the state's budget bottom line, but it may have to spend a further $4.1 billion over the next 10 years in order to satisfy accounting standards associated with it.

Record cash pile to fuel M&A deals

The Australian - Page 15 : 24 January 2022 - Original article by Joyce Moullakis - PortMac.News Summary

The total value of announced mergers and acquisitions involving Australian companies reached a new high of $US402.6bn in 2021; global M&A activity also rose to a record $US5.9 trillion.

Investment bank JP Morgan expects M&A activity to remain strong in 2022, noting that US companies and private equity firms are cashed up.

JP Morgan has identified healthcare, technology and energy transition as sectors that are likely to attract M&A activity in 2022, while it expects more companies to opt to sell or demerge assets.

Crypto crash slashes $1.4 trillion

The Australian - Page 16 : 24 January 2022 - Original article by Cliona O'Dowd - PortMac.News Summary

Bitcoin hit an all-time high of $US66,000 in November, but fell to as low as $US34,000 over the weekend of 22-23 January, following a 17 per cent fall over the week.

Chris Weston from Pepperstone suggests that it could fall below $US30,000, and that there could be firm support for the cryptocurrency at $US28,000.

Apollo Capital's chief investment officer Henrik Andersson contends that the recent sell-off of Bitcoin is part of a global macro trade, but he says the long-term outlook for crypto is positive.

Cryptocurrencies not suitable for most people

The Australian - Page 17 : 24 January 2022 - Original article by Robert Gottliebsen - PortMac.News Summary

The cryptocurrency market has fallen by over 45% since its October peak, with the decline in its value being around $US1.2 trillion.

Some of the main 'Base' buyers of bitcoin and other cryptocurrencies in recent years have been young people, who have seen cryptocurrencies as their way of securing wealth that they believe they have been deprived of during the current asset boom; some have hoped that cryptocurrencies would at some point destroy existing financial structures.

Retailers to win as food inflation tipped to hit 6.8%

The Australian Financial Review - Page 17 : 24 January 2022 - Original article by Jonathan Shapiro - PortMac.News Summary

An online survey of Australian fast-moving consumer goods suppliers shows that they expect the price of food and other grocery items to rise by an average of 6.8% in 2022.

The survey by Jarden also shows that FMCG suppliers are experiencing average cost inflation of 11.3%.

Nearly 90% of respondents indicated that they will increase their prices in 2022, and 70% intend to do so in the first half of the year.

Jarden's analysts note that price inflation will benefit major supermarket chains.

Streamers edge out old-school TV

The Australian - Page 19 : 24 January 2022 - Original article by James Madden - PortMac.News Summary

A new survey shows that 62% of Australian adults watched screen content via a subscription video-on-demand service in 2021, up from 60% in 2020.

In contrast, the proportion of Australians who watched linear commercial free-to-air TV in 2021 fell from 61% to 58%.

The survey also found that 89% of people who use a streaming service do so because it allows them to watch content when they want to.

The survey was undertaken by the Social Research Centre on behalf of the federal Department of Communications.

Auction clearance rate still luke warm

The Australian Financial Review - Page 3 : 24 January 2022 - Original article by Nick Lenaghan - PortMac.News Summary

Preliminary data from CoreLogic shows that Sydney's residential property market recorded an auction clearance rate of 58.3% in the week to 22 January, with 79 homes going under the hammer.

Melbourne's preliminary clearance rate was 64%, with 144 auctions scheduled for the week. The national clearance rate was 68.6%, from 448 scheduled auctions.

ASX Investors brace for sell-off pain

The Australian Financial Review - Page 1 & 24 : 24 January 2022 - Original article by Richard Henderson - PortMac.News Summary

Futures pricing suggests that the Australian sharemarket will open about 0.7% lower on Monday, following a negative lead from Wall Street and a sharp fall in the price of bitcoin.

The upcoming release of inflation data for the December quarter will be a key focus for local investors in the next week, while the US Federal Reserve's monthly monetary policy meeting will also be closely watched for indications about the timing of any rise in official interest rates.