Latest updates on Key Economic Indicators :

A$: $0.6470 USD (down 0.0094)

Iron (SGX): $116.50 USD (down $0.95)

Oil (WTI): $81.55 USD (down $1.17)

Gold: $2,286.05 USD (down $49.58)

Copper (CME): $4.5405 USD (down $0.1390)

Bit-coin: $60,123.64 USD (down 4.44%)

Dow Jones: 37,815.92 (down 570.17 pts)

All changes compared to 7am yesterday.

Israeli Rafah Invasion & ceasefire deal:

Hanging over the negotiations is the prospect of an Israeli military offensive in Rafah, which Israeli officials have signposted for months but are now holding back, saying they want to give space to the negotiations.

Israeli sources have characterized the latest Egyptian effort to broker a deal as the last chance to avert that offensive.

Netanyahu complicated the situation on Tuesday, telling hostage families that Israeli troops will “enter Rafah and eliminate the Hamas battalions there – with or without a deal,” according to the prime minister’s office.

On Tuesday, the Israeli military said commanders had approved “Upcoming missions” for a possible offensive into Rafah, although US officials said there were no signs of an imminent offensive.

The US and other allies of Israel warned such an operation would not have their support unless adequate measures were taken to ensure the safety of civilians.

Blinken said in Riyadh the US had “Not yet seen a plan that civilians can be effectively protected.”

Trump fined for nine online posts that breached gag order:

Judge overseeing Donald Trump's criminal "hush money" trial has fined the former US president $US9,000 (A$13,842) for violating a gag order and said he would consider jailing him if he continued to breach it.

In a written order, Justice Juan Merchan said the fine may not be enough to serve as a deterrent for the wealthy businessman-turned-politician and lamented that he did not have the authority to impose a higher penalty.

"Defendant is hereby warned that the Court will not tolerate willful violations of its lawful orders and that if necessary and appropriate under the circumstances, it will impose an incarceratory punishment," he wrote.

Justice Merchan had imposed the gag order to prevent Trump from criticising witnesses and others involved in the case.

The fine was just short of the $US10,000 penalty that prosecutors had requested for 10 posts that insulted likely witnesses and questioned the impartiality of the jury. Justice Merchan found nine posts breached the order.

Labor's plan to woo right investments

The Australian Financial Review - Page 1 & 6 : 1 May 2024 - Original article by Phillip Coorey - Portmac.News Summary

The federal government is set to overhaul the nation's foreign investment rules, which will include fast-tracking applications from investors with a proven record of investing in Australia.

The reforms will also result in closer scrutiny of proposed foreign investment deals that have national security implications, such as critical infrastructure and mineral resources.

Treasurer Jim Chalmers will outline the proposed reforms in a Lowy Institute speech on Wednesday; he will also reveal more details of Labor's flagship Future Made in Australia policy.

PM set to invest big in green hydrogen

The Australian - Page 1 & 5 : 1 May 2024 - Original article by Sarah Ison, Rosie Lewis, Jess Malcolm - Portmac.News Summary

The federal government's budget on 14 May is expected to include a significant investment in 'green' hydrogen.

This is tipped to exceed the $2bn that Labor committed to its Hydrogen Headstart program in 2023.

Clean Energy Council CEO Kane Thornton notes that the government considered that investment to be a "Down payment" on its support for Australia's nascent hydrogen industry.

There is speculation that the government will provide the hydrogen industry with direct subsidies; the options under consideration are said to include a tax credit model and a reverse auction process.

$13b Budget surplus tipped

The Australian Financial Review - Page 7 : 1 May 2024 - Original article by Ronald Mizen - Portmac.News Summary

Deloitte Access Economics expects the federal government to post a budget surplus of $13.4bn for 2023-24.

The government itself had forecast a full-year deficit of $1.1bn in its mid-year economic and fiscal outlook in December.

Deloitte says the budget bottom-line will be boosted by $14.5bn in additional company tax receipts and a $5.6bn increase in personal income tax revenue due to the strong labour market.

Deloitte partner Stephen Smith says that while Labor is on track for a second successive budget surplus, this is unlikely to be repeated in 2024-25 due to the goverment's spending plans.

Smith adds that the Future Made in Australia policy could further undermine the budget position.

ALP network and the $1bn deal

The Australian - Page 1 & 5 : 1 May 2024 - Original article by Geoff Chambers, Joe Kelly - Portmac.News Summary

The federal government's commitment to increased transparency is under renewed scrutiny in the wake of its deal to help finance the development of a quantum computer.

The federal and Queensland governments will each contribute $470m to PsiQuantum's project to build a 'fault-tolerant' quantum computer in Brisbane.

However, it has emerged that PsiQuantum used Lidija Ivanovski and Gerard Richardson from lobbying firm Brookline Advisory to help secure the federal funding.

Ivanovski has previously been the chief-of-staff to Deputy Prime Minister Richard Marles, while Richardson was formerly Treasurer Jim Chalmers' communications director.

(See full story on Portmac.News today)

Calls for dole rise to tackle poverty and disadvantage

The Australian - Page 5 : 1 May 2024 - Original article by Stephen Lunn - Portmac.News Summary

A group of eminent economists have urged the federal government to increase the JobSeeker and Youth Allowance payments in the budget on 14 May.

They have written a joint letter to Prime Minister Anthony Albanese arguing the case for increasing these payments to 90% of the age pension; the economists contend that this would not create a significant disincentive to work, and that people who receive JobSeeker would still be much better off in paid work.

They also argue that the current JobSeeker rate of $386 a week entrenches disadvantage in the community.

CBA tips one rate cut this year

The Australian Financial Review - Page 25 : 1 May 2024 - Original article by Cecile Lefort, Joshua Peach - Portmac.News Summary

Financial market traders have now priced in a 25% chance that the Reserve Bank of Australia will increase the cash rate by September; this compares with a 47% chance on Monday.

Meanwhile, the Commonwealth Bank now expects the cash rate to be reduced by 25 basis points to 4.1% in November, having previously forecast three interest rate cuts in 2024.

It also anticipates four interest rate cuts in 2025. The revised interest rate outlook follows last week's release of data showing that inflation grew by a higher than expected 1% for the March quarter; however, it preceded the release of data showing a decline in retail sales in March.

Coles to expand its private label offering

The Australian - Page 13 & 19 : 1 May 2024 - Original article by Eli Greenblat - Portmac.News Summary

Coles Group has reported that its total sales rose by 3.4% to $10.03bn in the March quarter.

Its supermarket division's sales were up 5.1% to $9.07bn, with sales of private label grocery products rising by 8.8% to $3.1bn.

In contrast, its liquor store division's sales fell by 1.9% to $786m.

Coles CEO Leah Weckert says cost-of-living pressures weighed on liquor sales during the quarter, but also help boost sales of 'Home brand' grocery products.

Weckert adds that Coles is responding to the latter trend by expanding its range of private label products, including the more premium Coles Finest range.

Online retail revolution

The Australian - Page 21 : 30 April 2024 - Original article by Paul Zahra - Portmac.News Summary

Online marketplaces and overseas discount retailers have created the most intensely competitive environment that Australia's retail sector has ever faced.

Factors such as the cost-of-living crisis and high interest rates are not deterring some segments of the population.

Research by Roy Morgan shows that half of Australians aged 18 to 29 live with their parents, while 34% of Australians own their home outright; these cohorts are still spending, and retailers are competing for their cash.

Consumers have also embraced ultra-cheap retail platforms such as Shein and Temu.

According to Roy Morgan, 91% of Australian online shoppers are aware of Temu, and 29% of them have made a purchase on this platform.

Roy Morgan's research also shows that about 34% of Australians now participate in the circular economy; some 57% buy second-hand items and 44% sell items that they no longer need.

Ten watches as bids, exits rattle Paramount

The Australian Financial Review - Page 10 : 1 May 2024 - Original article by Sam Buckingham-Jones - Portmac.News Summary

Paramount Global has advised that CEO Bob Bakish has stepped down with immediate effect.

Bakish's departure follows reports of tensions between the media industry veteran and Paramount chair Shari Redstone, who is also its controlling shareholder.

Redstone's holding company owns 31.5 million of Paramount's 41 million Class A voting shares, but less than five per cent of all shares, which primarily comprise Class B non-voting stock.

Class A shares have a much higher value, so Redstone stands to benefit more than other shareholders if a deal to sell Paramount eventuates.

The company's assets include the Ten Network, Nickelodeon and the UK's Channel 5.

Moguls circle as Telegraph, Spectator for up sale again

The Australian Financial Review - Page Online : 1 May 2024 - Original article by Hans van Leeuwen - Portmac.News Summary

The RedBird IMI consortium has formally abandoned its bid to acquire Britain's Daily Telegraph newspaper and the Spectator magazine.

The move follows the UK government's decision in March to legislate a ban  on foreign government ownership of British media assets.

IMI is an Abu Dhabi-based investment fund that has links to the United Arab Emirates' vice-president Sheikh Mansour bin Zayed Al Nahya.

RedBird IMI's withdrawal from bidding for the venerable publications may present Rupert Murdoch with an opportunity to acquire them.

He is said to be particularly interested in buying the Spectator.

BHP 'needs bid lift for Anglo deal'

The Australian - Page 17 : 1 May 2024 - Original article by Perry Williams - Portmac.News Summary

Research house Bernstein says BHP's takeover bid for Anglo American can secure the target's support at the right price.

BHP's offer comprises 0.7097 of its shares for every share in Anglo American; this valued Anglo's shares at Stg25.08 at the time the offer was made.

Bernstein analysts suggest that BHP's bid could succeed if its offer is increased to around Stg29 per share.

Anglo American deemed BHP's initial approach to be "Opportunistic", and contended that it significantly undervalues the company's assets.

Anglo American has given BHP a deadline of 22 May to make a firm offer or walk.

Brisbane on track to be second-most expensive city

The Australian - Page 3 : 1 May 2024 - Original article by Mackenzie Scott - Portmac.News Summary

Data from PropTrack shows that the median house price in Brisbane rose by nearly 3% to $818,000 in the first four months of 2024.

Brisbane now boasts Australia's third-highest median house price, and Eleanor Creagh from PropTrack says the Queensland capital is likely to surpass Canberra if the current momentum in house price growth is sustained.

Creagh notes that Brisbane has been one of the strongest housing markets since the onset of the COVID-19 pandemic.

She says factors such as interstate migration and a limited supply of homes on the market have contributed to the price growth.

ASX market waits on Fed

The Australian Financial Review - Page 24 : 1 May 2024 - Original article by Cecile Lefort - Portmac.News Summary

The Australian sharemarket posted a modest gain on Tuesday, with the S&P/ASX 200 adding 0.4% to close at 7,664.1 points.

Fortescue was up 1.5% at $26.05, Arcadium Lithium rose 8.4% to $6.72 and Westpac finished 0.8% higher at $25.96.

However, Ampol was down 3.3% at $36.81 and Worley fell 7.5% to $15.09.

The benchmark index shed 3% in April.