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Turns out the Nats are a full blown foreign legion

Via The Australian: Malcolm Turnbull is facing an ­escalating Labor attack over the ­stability of his government after a third cabinet minister owned up to being a dual citizen by descent, shocking observers with another test in the High Court that could reshape the ministry. Nationals deputy leader and Regional Affairs Minister Fiona Nash last

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Public servants take you to the cleaners in low wage Australia

By Leith van Onselen Wages and earnings growth data this week has revealed the widening gulf between public servants and private sector employees. First, Wednesday’s wages price index frevealed that private sector wages grew by only 1.78% in the year to June 2017, whereas public sector wages grew by 2.39%: Next, yesterday’s Average Weekly Earnings

16

The full, ugly truth of households getting poorer

By Leith van Onselen This week’s economic data has not been kind to Australia’s workers. Wednesday’s wages price index released by the ABS revealed that wages growth across the nation hit another all-time low 1.86%, with private sector workers (1.78% growth) faring much worse than their public sector counterparts (+2.39%): The news wasn’t much better

19

#SardineSydney’s trains reach bursting point

By Leith van Onselen Another week, another #SardineSydney story in the mainstream media on how the city’s population is swelling way above the capacity of its infrastructure. The latest example relates to Sydney’s long suffering trains, whereby skyrocketing passenger numbers are causing chronic crush-loading. From The Canberra Times: Passenger demand for trains in Sydney has

13

Anti-laundering fast-tracked to crypto as property spins on super cycle

Via Reuters: The federal government is pushing ahead with its expansion of the anti-money laundering (AML) regime, with the financial intelligence agency AUSTRAC set to receive additional powers. The government unveiled changes to the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 yesterday, which will also bring digital currency providers within the AML regime. Michael Keenan,

16

Earth swelters

From the NOAA: The globally averaged temperature over land and ocean surfaces for July 2017 was the second highest for the month of July in the NOAA global temperature dataset record, which dates back 138-years to 1880. The year-to-date global temperature was also second warmest on record. This monthly summary, developed by scientists at NOAA’s

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Links 18 August 2017

Global Macro / Markets / Investing: Over $9tn of bonds trade with negative yields – FT Libor-tracking investments hit U.S. exchanges; complexity a worry – Apple News Sam Zell on Global Growth: “Where’s the Demand?” – CFA Institute Billionaire Richard Branson weighs in on free cash handouts—there’s a ‘real danger’ tech will replace jobs –

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Macro Afternoon

by Chris Becker A very mixed day in Asia after what looked like a good lead overnight from risk markets, with response to the dovish Fed minutes muted by resumed Korean tensions and a burgeoning Yen. Stocks were down across most of the region. Commodities were the highlight with oil rebounded a little, while industrial

19

Bannon: US in “economic war” with China

Via The Guardian: White House chief strategist Steve Bannon has given an unusual interview in which he claimed there was no military solution for North Korea, the far right was a “collection of clowns” and the left’s focus on racism would allow him to “crush the Democrats”. Bannon, who has been called the mastermind behind Donald Trump’s nationalist

3

Unemployment in detail: Broad-based recovery continues

By Leith van Onselen As summarised earlier, the Australian Bureau of Statistics (ABS) today released its labour force report for July, which registered a solid 27,900 increase in total employment and no change to the headline unemployment rate (still 5.6% after last month’s figure was revised upwards). In trend terms, the unemployment rate fell marginally

5

What are the investment implications of the government falling?

It’s still a long shot but worthy of consideration, from RBC: With an already precarious one-seat majority, the Liberal-National Coalition government risks turning into a minority government should the High Court uphold Section 44 of the Constitution and rule the current Deputy PM and leader of the National Party ineligible for Parliament. There must also be

8

Jobs report a mixed bag

July jobs are out from the ABS and it’s a mixed bag: Employment increased 27,900 to 12,201,400. Full-time employment decreased 20,300 to 8,342,300 and part-time employment increased 48,200 to 3,859,10 Unemployment increased 1,100 to 730,600. The number of unemployed persons looking for full-time work decreased 3,800 to 496,400 and the number of unemployed persons only

39

Bernardi calls for Parliament to be suspended

Makes sense to me: Australian Conservatives senator Cory Bernardi has called for parliament to be prorogued pending the outcome of the High Court cases over the citizenship status of Barnaby Joyce, Matt Canavan, Malcolm Roberts, Larissa Waters and Scott Ludlam have been determined. “There are great concerns about the health and wellbeing of our institutions,”

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When Dick met Pauline

Dick and Pauline have enjoyed a Twitter love-in today to help promote his Fair Go campaign. Both come over well. It’s good to see Dick get a platform and good to see Pauline get humanised, which is the best way to defeat One Nation (as opposed to turning them into some titanic resistance movement). Here’s the

6

Are US stocks a bubble about to burst?

As said this morning, the Fed hedged dovish minutes today with this: This overall assessment incorporated the staff’s judgment that, since the April assessment, vulnerabilities associated with asset valuation pressures had edged up from notable to elevated, as asset prices remained high or climbed further, risk spreads narrowed, and expected and actual volatility remained muted in

3

What’s driving the coking coal rebound?

Back in saddle after this morning’s dummy spit, Credit Suisse has some of the finer detail driving the coking coal rebound: China struggling to meet demand China demand is stronger than anticipated due to solid steel production, which is probably enhanced by the closure of induction furnaces and their replacement with blast furnace steel. Against

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Coalition back-flips on grey car imports

By Leith van Onselen The Turnbull Government has reportedly back flipped on its promise to allow personal imports of high quality overseas vehicles – so-called “grey imports”. From Motoring.com.au: The Federal Chamber of Automotive Industries (FCAI) has offered its approval of the federal government’s official announcement today that it will not deregulate personal vehicle importation.