Aus to recognise Palestine; JB Hi-Fi boss quits; lithium soars

Aus to recognise Palestine; JB Hi-Fi boss quits; lithium soars

News in brief

JB Hi-Fi boss Terry Smart is leaving the electronics retailer - for the second time. JB announced a 5.4pc increase in full year profit yesterday. But news that Smart - who led the company from 2010 to 2014, before returning in 2021 - is retiring overshadowed the result, with JB Hi-Fi's share price dropping more than 8pc.

 

Lithium stocks soared yesterday after CATL - the world's largest EV battery maker - was forced to close a major mine in China for at least three months. Pilbara Minerals was up almost 20pc, while Liontown Resources climbed 18pc.

 

The Albanese government is taking its first big step towards universal childcare, hiring Deloitte to work out what the system could look like and how much it would cost.

 

Electric vehicle owners are expected to face a new road user charge with Treasurer Jim Chalmers and state governments fast-tracking plans. The shift comes as fuel excise revenue – once a reliable $15.7 billion a year – has shrunk in line with EV uptake. 

 

Financial stress among Australians has nearly doubled in the last five years, with women consistently reporting higher anxiety about money, according to the National Mental Health Commission. Around one in three Australians are financially stressed, rising from one in five in 2020.

Fear-o-meter

Prime Minister Anthony Albanese's announcement that Australia will recognise a Palestinian state:

 

"Australia will recognise the State of Palestine... to contribute to international momentum towards a two-state solution, a ceasefire in Gaza and release of the hostages.

 

The Netanyahu Government is extinguishing the prospect of a two-state solution by rapidly expanding illegal settlements, threatening annexation in the Occupied Palestinian Territories, and explicitly opposing any Palestinian state.  

 

Australia’s position is predicated on the commitments we have received from the Palestinian Authority.... strengthened by the Arab League’s unprecedented demand for the terrorist organisation Hamas to end its rule in Gaza and hand over its weapons...

 

Hamas continues to damage the prospects of a two-state solution and rejects Israel’s right to exist. Hamas must release the hostages cruelly taken on October 7, 2023 immediately, unconditionally and with dignity. The Australian Government has consistently made clear there can be no role for Hamas in a Palestinian state.

 

Australia is further compelled by the Netanyahu Government's disregard of the international community's calls, and its failure to comply with its legal and ethical obligations in Gaza…

 

Palestinian children deserve a future that looks nothing like their reality today."

Fear & Greed Q+A today

What should we expect from reporting season?

 

"You've sort of got the 'haves' and the 'have nots' in retail land. And I think if we look to some of the haves, for instance, you look at JB HiFi, look at Harvey Norman, Breville as well to a lesser extent given its global mix, but they've got some real tailwinds. One, they're selling products that consumers want. And if they've got more disposable income, it's always exciting to go out there and get a new computer, buy a new piece of tech, buy a new kettle with all the new tech you can get around it now. 

 

And they've definitely got some tailwinds both from a macro standpoint, plus you're also seeing some pretty significant benefits coming through from all this stuff we bought and accumulated through COVID. It's now starting to break, all those new models out for people looking to replace it. You're also seeing that with things like Windows. The old Windows is becoming obsolete. It's switching off in the next couple of months. It's going to drive a whole bunch of demand. We're pretty positive around those spaces."

It’s Tuesday the 12th of August, and Prime Minister Anthony Albanese has announced plans for Australia to recognise a Palestinian state, putting us at odds with Israel and the US over the issue. The PM says it provides the best chance for peace in Gaza, and is aligned with positions taken by the UK, Canada and France. But Shadow Defence Minister Angus Taylor has described it as a 'reward for Hamas.'

Greed-o-meter

Item	Increase
Eggs	49%
Oils & fats	46%
Insurance	39%
Gas & household fuels	38%
New dwelling purchase	37%
Bread	29%
Coffee, tea & cocoa	29%
Veterinary & pet services	29%
Soft drinks & juices	28%
Dairy	24%
Automotive fuels	24%

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The consumer price index (CPI) has risen by 19.2pc over the four years to June. But the prices of many household items have increased far more than that across the same period.

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Source: ABS, as reported in Nine Newspapers