Links 30 January 2019

Global Macro/Markets

Americas

Europe/Middle East

Asia/Sub-continent

Australia/New Zealand

Interesting

Comments

  1. Government gives green light to $50b black economy reform taskforce
    https://www.afr.com/business/banking-and-finance/government-gives-green-light-to-50b-black-economy-reform-taskforce-20190129-h1al7a
    [By Duncan Hughes
    The federal government has accepted – or agreed in principle to – almost 70 per cent of the recommendations made by the Black Economy Taskforce aimed at tackling illegal activities estimated to cost the nation about $50 billion a year.]

  2. Sydney, Melbourne house prices head towards 10pc falls: Corelogic
    https://www.afr.com/real-estate/sydney-melbourne-house-prices-head-for-towards-a-10pc-fall-corelogic-20190129-h1alv3
    [By Su-Lin Tan
    Sydney and Melbourne house prices have tumbled again as they edge closer to a full 10 per cent decline over the past year.

    In the lead up to the official price update for January at the end of the week, CoreLogic data shows Sydney house prices have fallen 9.5 per cent in the 12 months up to January 27.

    Melbourne’s house prices have fallen 8.2 per cent. In contrast, Brisbane and Adelaide’s house prices were flat over the year.]

    • Not that she could see. Good pick up. My opinion just got even lower, if that were possible.

    • Demography 101: If one person says we are flooded with immigrants and the other says there’s a skills drought, it’s not your job to fudge the facts and virtue signal your way to Innes Willox’s good books. It’s your job to get your head out of the maggot infested chicken and make an honest assessment of the drivers of high immigration and whether we actually do need so many Uber(eats) drivers, wristie parlours and so forth.

  3. Peter McDonald is lying again:

    15 hours ago

    McDonald said if the Government restricted permanent migration, the employees needed by Australian businesses would not come from the ranks of the local unemployed.

    “If labour demand is strong, and permanent migration is not filling the demand, then it will come from temporary migration or New Zealanders,” he said.

    Load of garbage. Bosses have been able to import staff from NZ for the past 20-30 years but they prefer to import staff from even further away. Wages in the 3rd world are very low and working here for $10/hour is a dream by comparison.

    A reduction in immigration, he argues, would not necessarily lead to more jobs for Australians.

    “There’s about 12 per cent, say, of prime age, potential workers who are not employed, and it’s been that figure for 20 years.

    https://www.abc.net.au/news/2019-01-29/migration-cuts-could-scupper-morrison-jobs-pledge/10758416

    Load of garbage again. Even right wing pricks say it was a lot easier to get a job in 2008 compared to 2018. You know, when 457 visas were harder to get. Even “degrees” were probably harder to get – thereby acting as a cap on the number of illegal workers as opposed to the unlimited number of foreign “students” (full time workers) here now.

  4. More bold moves from our big cuddly trading partner.

    Thinking about using ChAFTA to make some investments in the Chinese private kindergarten market?

    Make sure you allow for some sovereign risk in your calculations.

    https://www.aristeon.net/2019/01/china-orders-private-kindergartens-to-be-handed-over-to-local-authorities.html?m=1

    Does this mean we can ask those Chinese investors in Australian housing to hand over the keys?

    It is possible that there are no foreign investors in Chinese kindergarten anyway, as the importance of the hand that rocks the cradle to “right road thinking” and correct socialist thought is well understood.

    And before you get all high and mighty, remember that according to some regular apologists the brain washing and mind control (Bernays special sauce) in the West is just as bad.

    H/T poppy.

    • There goes a whole chunk of foreigners who won’t be teaching English and evil western cultural values to through baa baa black sheep.

      But… How do I protect my kid from institutionalised child abuse in gov facilities? (Has been known to happen)

    • Interesting, a lot of Private Chinese kindergartens are associated with western / International schools. The Preschool is suppose to prepare the kids to pass the Year one entrance exams for International schools. (yeah your kids have to pass a fairly rigorous exam to get a slot in the International schools in Shanghai and Beijing.) The typical rich kid does two years of Preschool and two years of kindergarten before they start year 1 (Typically at age 5) Places in these Preschool programs are very cherished by local rich because it will allow them to potentially educate their kids in western schools and make an easy transition to Canada, Australia or the US during the High school years.

  5. A rubbish article penned by someone who apparently had a lovely time over the weekend shopping at some craft market. Notice not one bit of data to back up the suggestion that the likes of a soy candle shop can replace a Toy R Us or Myer outlet. If she wants to go to the Canberra Centre, Belconnen Westfield or the Canberra Outlet Centre and see all the boarded up shopfronts she’d possibly get that Canberra is not bucking any retail trend (but maybe not).

    https://www.abc.net.au/news/2019-01-30/retail-market-strong-in-canberra-while-in-trouble-elsewhere/10758742

  6. We’re going in the same direction as Oz’: Auckland house prices tipped to fall says Assets Manager Milford … NZ Herald / NewstalkZB

    https://www.newstalkzb.co.nz/news/national/were-going-in-the-same-direction-as-oz-auckland-house-prices-tipped-to-fall/
    .
    .
    Brian Gaynor of Milford Asset Management: Houses and shares deliver a decade of growth – NZ Herald

    https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12196235
    .
    .
    Australia’s house price downturn is showing few signs of easing | Business Insider

    https://www.businessinsider.com.au/australia-economy-property-price-downturn-sydney-melbourne-2019-1

    • Australian capital city home prices fell by 1.3% in December, the largest one-month decline since 1983.

    • It looks like a similar result may be reported for January, according to CoreLogic’s daily data.

    • The housing downturn is already weighing on Australia’s residential construction sector. There are concerns it could spread to the broader economy, especially household spending.
    .

  7. nb – I’m not an EV luddite, I just don’t think they’re all that just yet. Dutch mans 89,000km drive – via the gaurdian – Must have been a bloody long drive if his car was first gen and charged via. wall sockets. Regarding his drive from Glendambo to Coober Peedy – not sure that really highlights the qualities of EV – we’re not all going to wait for a strong tail wind and drive 235km at 60km/h are we?

    Last Friday i was driving across southern Vic when they were having the 42+ degree days and rolling blackouts. Was playing road tag for a while with a Tesla Model S. He seemed to have a good range, although I’m not certain he’d be able to drop and charge. Surely there would be issues surrounding the components operating at those temps?

  8. https://www.theatlantic.com/ideas/archive/2019/01/how-howard-schultz-may-save-democratic-party/581443/

    Actually, this complaint reveals why Schultz’s exploration is just the help America needs. Schultz seems to intend to run as a compassionate businessman concerned that the Democratic Party is veering too far to the left.

    LOL
    Democratic party today is more to the economic right that Republican party was ever up until GWB, even under Reagan Republicans were less to the right than Democrats under Obama or Pelosi

  9. Buyers try to ‘rip off’ Opal Tower owners by offering half the price

    Du Yang, selling agent at SY Realty, had listed two apartments for sale in the Opal Tower before Christmas with a price guide of $500,000.

    “I’ve had several inquiries and offers because the buyers think they can rip off the owners,” Mr Yang said. When asked by how much, he replied: “By half.”

    To which I say, how un Australian!

    Director Bassam Aflak was confident prices for Opal Tower units would hold steady but said that in the traditionally slow summer period, followed by Easter and school holidays, it would take time for sales in its projects to pick up again. “We don’t expect a return to normal selling until around May 2019,” he told Domain.

    To which I say, I’ll have what he’s smoking!

  10. https://techcrunch.com/2019/01/29/facebook-project-atlas/amp/?__twitter_impression=true

    Giving Facebook or any app root access! People are so dumb!

    “Desperate for data on its competitors, Facebook has been secretly paying people to install a “Facebook Research” VPN that lets the company suck in all of a user’s phone and web activity, similar to Facebook’s Onavo Protect app that Apple banned in June and that was removed in August. Facebook sidesteps the App Store and rewards teenagers and adults to download the Research app and give it root access to network traffic in what may be a violation of Apple policy so the social network can decrypt and analyze their phone activity, a TechCrunch investigation confirms.”