Experiencing growth in revenue overseas? Nominate your business for the Financial Review’s Global 100 now. Entries close on 21 March.
ASX sinks as Credit Suisse woes rock global markets
Traders again abandoned bets of further tightening by central banks amid fears that contagion will send the global economy into a deep recession.
Tax system ‘fails every test’, says Ken Henry
The federal-state tax system undermines economic growth and fairness to younger people, and the Howard government’s “tax mix switch” to the GST has been “completely undone”, the former Treasury boss said.
- Live
- Markets Live
ASX sinks on global banking storm; CBA, NAB fall
Credit Suisse rattles markets. Latitude hit by cyber attack. Gold miners climb. Lithium, iron ore miners retreat. Oil price tanks. NZ economy shrinks. Follow here.
- Opinion
- Chanticleer
Panic at Credit Suisse is now everyone’s problem
The collision of Credit Suisse’s profit problem and fears about rising global fragility created panic on Wednesday night. How long can regulators keep playing whack-a-mole?
Latitude customer data stolen after cyberattack
The personal lender said 103,000 customer ID documents and 225,000 customer records had been stolen by an attacker that hit some of its tech vendors.
- Live
- Need to Know
Keating’s critique only serves to ‘diminish’ him: Albanese
Anthony Albanese pushes back against Keating, saying he is governing Australia according to the facts in 2023; Peter Garrett says AUKUS deal “stinks”. Follow updates here.
Banker warns super tax may force ‘a hell of a lot’ of farmers to sell
AMP director Mike Hirst, who owns a cattle farm near Geelong, says Labor’s proposal could force farmers who “eke out a living” on the land to sell their properties.
Three firms welcome Senate inquiry | PwC defends robo-debt work | KPMG signed off on SVB accounts
BANKING TURMOIL
BoE holds emergency talks over Credit Suisse panic
The Credit Suisse stock sell off was triggered by panic over the health of the 166-year-old bank reeling from years of mismanagement and poor risk control.
Larry Fink warns of ‘slow rolling crisis’ after SVB collapse
BlackRock chief executive said he fears “more seizures and shutdowns” of banks are possible after “decades of easy money”.
Credit Suisse is in crisis: what went wrong?
Credit Suisse’s failings have included a money laundering conviction, a corruption case, a spy scandal and a massive leak of client data to the media.
Credit Suisse crisis crushes a favourite investor trade of 2023
The rout has “caught many on the wrong side of the bet and the situation is turning out to be very messy”, said Guillermo Santos at iCapital.
Credit Suisse needs capital raise or break-up, Morningstar says
“We expect the 2023 loss to increase to such an extent that its capital adequacy could be under threat,” Morningstar analyst Johann Scholtz said in a note.
Companies
Entrepreneur declares Australia’s first battery gigafactory
Brian Craighead defied critics to build Australia’s first battery gigafactory and says this is the start of his ambition to drive the clean energy transition.
LNG exporters may need to divert supplies to avoid shortfall
Queensland’s LNG exporters may need to divert gas to domestic customers to head off a shortfall in the southern states this winter and even then, shortages may occur.
- Opinion
- Chanticleer
Forrest seizes control of creditors at Sun Cable
Andrew Forrest’s Squadron Energy has been buying out creditors of Sun Cable and is now in a position to control any creditor votes.
English class action against BHP now ‘the largest in history’
The law firm behind the suit says it’s worth $66 billion, but the resources giant still seems ready to stare down the now-700,000 claimants.
- Exclusive
- Baby formula
Care A2 Plus investors say they are being left in the dark
The company had told potential backers it was aiming to list on the ASX last year, but shareholders complain the company has failed to communicate with them.
Cannon-Brookes, Forrest face rival bidders for $35b Sun Cable
Multiple parties have submitted initial bids for the proposed $35 billion Sun Cable mega-project that was forced into administration in January.
Morgan Stanley misleading and ‘irresponsible’, Network Ten says
The Paramount-owned broadcaster has accused the investment bank of bias after its analysts noted poor ratings were supporting its rivals Nine and Seven.
Companies in the News
Search companies
View stories and data from an ASX listed company
Markets
What happened in markets overnight
The Dow fell as Credit Suisse’s confidence crisis hit JPMorgan and Goldman. BHP and Rio drop sharply in New York. Energy sector hit by plunge in oil.
Fed gets more room to pause after producer prices, retail sales drop
The US producer price index unexpectedly fell 0.1 per cent last month, while retail sales declined 0.4 per cent.
ECB should change rates plan for Thursday, Bini Smaghi says
Lorenzo Bini Smaghi, a former European Central Bank policymaker, said the bank should either delay or pare back this week’s planned interest-rate increase.
After days of panic, bank executives can breathe again
One bank CEO shared his personal cellphone number to all 70,000 depositors at his institution, who asked him for personal assurances that everything would turn out OK.
- Opinion
- Chanticleer
Why investors should stay on red alert as SVB fears fade
The growing chorus of economists tipping the US Fed to keep rates on hold next week appears to be evaporating.
Opinion
Rolling the dice on risk catches up with Credit Suisse, SVB
The troubles at Credit Suisse and SVB have proved that smart bankers don’t play dangerous games.
Senior reporter
Labor’s gas big stick delays new supply
Labor needs to resolve the contradiction between its belated recognition of gas as a crucial transition fuel with its big-stick intervention, which is delaying urgently needed investment in new gas supply.
Editorial
Australia risks sleepwalking into an energy crisis
Traditional fossil fuel energy is being phased out before the new renewable energy system is ready. The energy transition is happening back-to-front.
Economics editor
Bowen says power price rises could be worse
Chris Bowen needs to persuade the public that energy bills would be higher still if the Labor government hadn’t intervened in the market.
Columnist
Minns becomes a fiscal conservative, Perrottet the big spender
In a debate, Labor leader Chris Minns accused Liberal Premier Dominic Perrottet of throwing money around he said the state can’t afford.
Senior correspondent
‘US forces give the nod’ and the Labor Left goes missing
The Left used to oppose the US military and nuclear power, writes Aaron Patrick. What happened?
Senior correspondent
Politics
- Exclusive
- Class action
Record-breaking NDIS class action for over-65s set to launch
Taxpayers could be out of pocket hundreds of millions of dollars if the government’s exclusion of over-65s from the NDIS is found to be unlawful.
Chalmers’ warning: We’ll be 40pc poorer if we don’t lift productivity
Australians will be 40 per cent poorer by 2063 if the federal government is unable to turnaround lacklustre rates of productivity growth.
NSW teals push back: Our communities are not NIMBYs
Candidates in Sydney’s inner north and eastern suburbs deny their communities are anti-development in response to new analysis.
Keating lashes PM as ‘dope’ over AUKUS deal
Paul Keating lashed this week’s AUKUS decision as the worst by a Labor government since conscription in WWI. Some, including former colleague Kim Beazley, disagree.
The big CEO call overshadowing AFL’s blockbuster season
AFL chairman Richard Goyder is primed for a record-breaking opener for the AFL season, despite mounting questions over CEO succession.
SPONSORED
World
Lamborghini, yacht: Chinese tycoon ‘stole $1.5b’ for lavish lifestyle
US prosecutors accuse Guo Wengui of conspiring to cheat thousands of victims using “a series of complex fraudulent and fictitious businesses”.
China’s consumer spending rebounds after end of COVID-19 curbs
Retail sales have risen 3.5 per cent year-on-year in the first two months of this year, compared with declines in each of the previous three months.
After days of panic, bank executives can breathe again
One bank CEO shared his personal cellphone number to all 70,000 depositors at his institution, who asked him for personal assurances that everything would turn out OK.
Signature Bank faced criminal probe before collapse
Justice Department investigators were examining whether the New York bank took sufficient steps to detect potential money laundering by clients.
‘Reckless’: Russian fighter jet collides with US drone
The US said two Russian fighter jets intercepted the $45 million drone in international airspace over the Black Sea. Russia says its warplanes never touched the drone.
Property
Sydney home values lift 1pc in four weeks
It’s the strongest gain over a four-week period since January 2022 according to CoreLogic data, accelerating from the earlier-than-expected streak that started at the beginning of the year.
- Exclusive
- Luxury property
Fairfax family buys $22m resort-style Vaucluse retreat
Charles Fairfax, the youngest son of the late Lady Fairfax, and his wife Kate have bought in Vaucluse, while fund manager Doug Tynan doubles his money in Woollahra.
Super funds back institutional investment in housing
A public hearing into the government’s planned $10 billion housing fund laid bare party political fault lines over how to overcome Australia’s housing problem.
Property pay surge heaps pressure on construction sector
The average property pay rise last year was 5 per cent, the highest annual increase since 2007, as companies battled it out for talent amid labour shortages.
Investment properties on the chopping block as rates rise
New listings for investor-owned residential properties have nearly doubled nationwide since December, as some landlords might be starting to offload some assets to ease the pressure of the rapid interest rate rises.
Wealth
Solar, wind and robots: How to invest like a prince
Max von Liechtenstein, son of the reigning Prince of Liechtenstein, is in charge of an investment group managing some $480 billion.
Why investors are swapping banks for insurers
Analysts say the momentum within the financials sector has shifted from the big four to the insurers.
- Opinion
- Super wars
What to do now to beat $3m super cap
One important action is taking steps to even up the balances held by couples.
Technology
- Analysis
- AI
With GPT-4 we really are on the verge of revolutionising office work
Open AI and Google are now locked in a race to automate the most time-consuming, boring parts of white-collar life.
Start-ups wary as SVB reopens coffers
Start-ups are tightening their treasury policies and weighing up new banking relationships as SVB deposits are returned.
The many ways GPT-4 is impressive but still flawed
The latest iteration of the chatbot is wowing doctors with its medical advice, can describe images, and it’s close to telling jokes that are almost funny.
Work & Careers
In New York City, a $150,000 salary feels like $54,000
New York ranked last in an analysis of 76 of the largest US cities to see where $US100,000 goes the furthest.
This business leader took a career break to be a stand-up comedian
Business leaders often say they have taken a circuitous route to the top. It is truer of director Naomi Edwards than most.
Life & Luxury
This Fringe featured dominatrixes and opera acrobats
The festival in Adelaide’s Rymill Park was a liberating experience compared with many of its overcrowded, overpoliced counterparts in other cities.
‘You smell Coca-Cola’: the scent secrets of Hermès’ top perfumer
For the latest fragrance in Hermès’ Jardin series, Christine Nagel conjured up a memory of the Greek island of Kythira.
Eight wardrobe items that deliver maximum style with minimal effort
Stylists say the secret to a successful wardrobe is investing in ‘iconic’ pieces – but some classics are more deeply embedded in industry lore than others.
What this luxury safari lodge offers that others don’t
At Sabi Sabi’s Earth Lodge, an absence of fences makes lounging on your suite’s private patio all the more thrilling.
Your Johannesburg stopover just stepped up a level
Skip the airport hotel and spend a night in luxury at Fairlawns Boutique Hotel.
