The state of the economy at the street level

[farmerge]

Tree Huggers , are like members of the Bradfield Party , they mean well, but because they are so passionate about their pet subject(s), they lose a sense of realism.
I am always a tad wary of anyone who says they passionate about anything, they tend to lose their ability to be rational.
There are few folk like that here on ASF,
Mick

@mullokintyre I am quite passionate about some things but don't suffer tunnel vision because of it.
At the moment I am more than passionate about standing upright and staying that way and casting a shadow.

 

[wayneL]

@mullokintyre I am quite passionate about some things but don't suffer tunnel vision because of it.
At the moment I am more than passionate about standing upright and staying that way and casting a shadow.

Fair.

 

[qldfrog]

To put things in perspective:

I am sure there is some use in society or culture, food hospitality and personal services University degrees but somewhat limited
People spending $137k and 3y for a creative art uni degree..i see that as insane

 

[divs4ever]

To put things in perspective:
View attachment 192976
I am sure there is some use in society or culture, food hospitality and personal services University degrees but somewhat limited
People spending $137k and 3y for a creative art uni degree..i see that as insane

have you seen some of the 'art ' .. one might have thought counselling might have been a better option , but no they had to express their feelings to the public

 

[farmerge]

have you seen some of the 'art ' .. one might have thought counselling might have been a better option , but no they had to express their feelings to the public

Yikes
The graffiti artists do a much better job on the sides of the rail wagons that we see at the level crossing at Midland.

 

[over9k]

To put things in perspective:
View attachment 192976
I am sure there is some use in society or culture, food hospitality and personal services University degrees but somewhat limited
People spending $137k and 3y for a creative art uni degree..i see that as insane

Narrative. It's finally starting to shift but there's plenty of work to do yet.


I don't like the way they've counted it though - I'd run the sums on all the tuition fees and then the net difference of student payments vs working a fair paying but dead end job and then include investing the money in a basic unit or some type of investment property rather than the degree.

There's a lot of gen Z kids that have realised that degrees are not the investment they used to be and are just working and investing in investment properties from like 19 like this kid here: https://www.tiktok.com/@propertywithharley

If I could go back in time it's exactly what I would do and if I had an 18 year old kid here right now asking me "do I go to uni or not?" I'd be telling them to do the exact same thing as this kid has.

He's going to be very comfortably retired by 30.

 

[qldfrog]

Narrative. It's finally starting to shift but there's plenty of work to do yet.


I don't like the way they've counted it though - I'd run the sums on all the tuition fees and then the net difference of student payments vs working a fair paying but dead end job and then include investing the money in a basic unit or some type of investment property rather than the degree.

There's a lot of gen Z kids that have realised that degrees are not the investment they used to be and are just working and investing in investment properties from like 19 like this kid here: https://www.tiktok.com/@propertywithharley

If I could go back in time it's exactly what I would do and if I had an 18 year old kid here right now asking me "do I go to uni or not?" I'd be telling them to do the exact same thing as this kid has.

He's going to be very comfortably retired by 30.

The figures at least include accommodation/living costs along these 3y.. something often bypassed, adding 3 y of study has serious cost:
For a surgeon, IT or engineer..well you need the degree, extra education so it is needed.
I doubt a painter, singer/songwriter or book writer is getting his success thru following a cursus and a bachelor of art.
Do not take me wrong, i am all for knowledge, cartesian thinking, sciences, geo politics, history and as well literature but i perfectly know the output of Australian universities..abysmal, sheeps swallowing any BS, no science background and knowledge restricted to at best a narrow technical field based on degree.
Sadly, i am afraid you are right, to a kid,get a TAFE, and follow the Australian dream..

 

[over9k]

i am afraid you are right, to a kid,get a TAFE, and follow the Australian dream..

Don't even do that. Just work FIFO as a cleaner and invest it. You're retired before 30.

A LOT of my generation went straight into the mines way back but those dudes spent everything they made and are now kicking themselves in the way us uni grads are.

It's for an entirely different reason, but they still are.

 

[farmerge]

The figures at least include accommodation/living costs along these 3y.. something often bypassed, adding 3 y of study has serious cost:
For a surgeon, IT or engineer..well you need the degree, extra education so it is needed.
I doubt a painter, singer/songwriter or book writer is getting his success thru following a cursus and a bachelor of art.
Do not take me wrong, i am all for knowledge, cartesian thinking, sciences, geo politics, history and as well literature but i perfectly know the output of Australian universities..abysmal, sheeps swallowing any BS, no science background and knowledge restricted to at best a narrow technical field based on degree.
Sadly, i am afraid you are right, to a kid,get a TAFE, and follow the Australian dream..

@qldfrog My sons (2) oldest got a TAFE education and is a Heavy Diesel Fitter in the Pilbara,
Other son went onto Uni and is a qualified Vet and skilled surgeon.
Both have done very well, but guess which one earns the most per annum.
Yeap the TAFE Degree wins hands down.

 

[JohnDe]

“A number of people are struggling. I don’t think there’s any secret that InfraBuild/Whyalla/Gupta has been in the media a lot. The particular behaviour of that party is they’re obviously running their business for cash,” he told market analysts on Tuesday.​

​

“They’re under all sorts of duress and that has been very negative to the margins on steel.”​

​

Mr Jones said there had been “aggressive stock liquidation by some market participants desperately trying to turn steel into cash due to balance sheet pressures”.​

​

“We also saw the industry marked by several participants experiencing significant operating losses,” he said.​

Mr Jones said Vulcan had endured an extremely tough six months that saw its first-half profit plunge to $NZ9.2m ($8.28m), down 64.8 per cent from last year. The company’s earnings before interest, tax, depreciation and amortisation fell by more than 30 per cent to $NZ56.9m.​

​

Queensland and NZ account for about 60 per cent of Vulcan’s revenue (down 12.6 per cent to $NZ493m) with Vulcan seeing light at the end of tunnel in both markets.​

​

Mr Jones said he was optimistic about other parts of Australia, but warned Victoria remained an economic basket case.​

Vulcan Steel calls out bigger problems than Trump tariffs

Metals distribution and processing company Vulcan Steel has taken a swipe at the state of the Victorian economy as it braces for any fallout from US president Donald Trump’s threat to impose 25 per cent tariff on steel and aluminium imports.

Vulcan chief executive Rhys Jones said the tariff threat added to market uncertainty for the dual listed Australian and New Zealand company, which has about 1300 employees and is big player steel and aluminium distribution.

Mr Jones also took aim at British businessman Sanjeev Gupta and the impact his loss-making Whyalla steelworks in South Australia was having on margins in the steel industry.

“A number of people are struggling. I don’t think there’s any secret that InfraBuild/Whyalla/Gupta has been in the media a lot. The particular behaviour of that party is they’re obviously running their business for cash,” he told market analysts on Tuesday.

“They’re under all sorts of duress and that has been very negative to the margins on steel.”

Mr Jones said there had been “aggressive stock liquidation by some market participants desperately trying to turn steel into cash due to balance sheet pressures”.

“We also saw the industry marked by several participants experiencing significant operating losses,” he said.

Mr Jones said Vulcan had endured an extremely tough six months that saw its first-half profit plunge to $NZ9.2m ($8.28m), down 64.8 per cent from last year. The company’s earnings before interest, tax, depreciation and amortisation fell by more than 30 per cent to $NZ56.9m.

Queensland and NZ account for about 60 per cent of Vulcan’s revenue (down 12.6 per cent to $NZ493m) with Vulcan seeing light at the end of tunnel in both markets.

Mr Jones said he was optimistic about other parts of Australia, but warned Victoria remained an economic basket case.

“The real concern is Victoria. That’s 11 per cent of our revenue. That’s a state government that’s got very high debt levels,” he said.

“A number of projects on the horizon are basically stalled, or there’s no more coming. You’ve got very high costs, and you’ve got a very negative investment environment.

“We see Victoria, which is a large user of structural steel, being in a very slow environment for some time. We don’t see any real improvement in the near term.”

In contrast, Vulcan see positive signs for steel demand in Queensland as the state begins to step up preparations to host the 2032 Olympic Games.

“They’re got the Olympics emerging and business confidence has definitely increased,” he said.

“They’ve had a new state government, which has increased business confidence further, and they’ve had migration from different parts of Australia.

“Separately, NSW has been stable, but we do believe that will improve progressively over the next 12 months as interest rates drop and confidence emerges.”

Vulcan is also hoping for an uptick in steel sales in recession-hit New Zealand after what Mr Jones described as the weakest period of economic demand for many decades.

“The economic conditions in both Australia and New Zealand have continued to be difficult, with New Zealand in recession and the Australian economy remaining well below trend growth,” he said.

“Our customers have continued to face restrictive interest rate levels and weaker markets, and our first half results reflect this, particularly in our steel division.”

Vulcan slashed its interim dividend to NZ2.5c, down from NZ12c at the same time last year.

 

[qldfrog]

Now for the commoners from the usual cheerful source :

The three drivers of Australia's income collapse

The Australian Bureau of Statistics (ABS) Q3 national accounts showed that real per capita household disposable income has collapsed by around 8% from its Q2 2022 peak, the most significant decline in recorded history. This also represented one of the greatest declines in real per capita...

www.macrobusiness.com.au

To note:
#Absolute abysmal policies especially since covid vs basically everyone...the 3y border closure has had a cost
#The taxation reaching the highest average level even higher than the pre Keating years..i was not expecting that...
#And real inflation/real income fall especially but not only for mortgagees....
Now wait for increasing major impact of electricity price effect/gov royalties income collapses on subsidised green energy/PS jobs and projects and social welfare cost when unaffordable.
A nice firework ahead ...