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The top stories from ABC News - the first asylum seekers to be moved from Christmas Island to PNG under the government's new policy are being transferred this evening. The transferred this Immigration Department won't say how many people are on board the plane. say how many people board the plane. Meanwhile the Opposition has revealed if it wins the election it will build a tent city to house up to 5,000 people on Nauru. The Coalition says it wants to find other countries to except refugees who are processed there.A deadly turf war between bikie gangs appears to be continuing on Sydney's streets with two men shot dead last night in separate shootings. One of the victim was an 18-year-old who narrowly survived after being shot two weeks ago.Explosions at a propane gas plant in Florida have injured at least seven people. Homes within 2km of the site were evacuated. 15 workers ever been found safe after initially being unaccounted for.And the Essendon football club has strongly denied new allegations about its 2012 supplements program. The club's former performance manager Dean Robinson has claimed that coach James Hird was behind the controversial program from the start. The club says that claim is nonsense. Those are the latest headlines from ABC News. Closed Captions by CSI.

This Program is Captioned Live.Tonight - the RBA getting serious on rates. No joke, as Governor Glenn Stevens leaves the door open for another cut.This is the largest audience we've had, so I figure you're here for the jokes, really. Note to Bloomberg, that was humour.I'm Ticky Fullerton, you're watching The Business.

Back to 9 o-0 cents for the Aussie dollar as Glenn Stevens dropped a big hint. To a historic low and beyond, making a safe bet or an August rate cut.Upsetting Apple's cart, more allegations of exploitation in Chinese factories.And not so rosy retirement, a super guru's warning on diminishing returns.We tend to always use an accumulation mindset and we don't think about the retirees and the mathematics for them is really quite different.First a quick look at the markets and Asian stocks reversed some of yesterday's losses with some bright economic spots lighting up Japanese investors.

Reserve Bank doesn't
It will be a surprise if the Reserve Bank doesn't cut It will be a surprise if interest rates next week. Some straight talking interest rates next straight talking from the RBA
Governor Glenn Stevens left analysts in Governor Glenn was comfortable with lower interest rates and a lower dollar. Traders obliged sending the currency down more than 1 US cents. Here's finance correspondent Philip Laskar.It wa tz Governor's first public appearance since an off-the-cuff joke sent financial markets into a spin.This is the largest audience we've had, so I figure you're here for the jokes, really. Note the Bloomberg, that was humour.This time the market-moving comments were deadly serious, like the observation that the transition from the mining to the non-mining sectors is slow.We look to be waiting a bit longer to see some improvement in investment growth outside of mining and I think that's the bit that sort of at the margin got the RBA worried and I think that's why we'll see further rate cuts from the RBA.The Governor said lower interest rates are now a feature of a constrained world where consumers are saving more. There are fewer hurdles to lower interest rates. Not even last week's inflation numbers which some analysts saw as an impediment to further cuts.The inflation outlook may afford, I'll get these words exactly right, my afford some scope to ease policy further if needed to support demand. That's what we've been saying in the statements in the minutes. The recent inflation data do not appear to have shifted that assessment.He indicated when asked about how low interest rates possibly could go, he said he has adequate flexibility at the moment. So there's no view that interest rates are too low now.And if a report on the resources sector is any guide, lower rates will be needed. It found mining business chiefs were much more pessimistic and had switched their focus to job cuts and winding back downturn is such that most coal mines downturn is such that most mines are unprofitable today and that's why there's such a and that's strong focus on cost. Across all resources.And comments aimed at Canberra, the Governor highlighted business confidence as an area of concern.There's no business confidence policy lever that somebody can just get hold of and pull. Rather, I think we have to rely on a few more basic thing s. We have to rely on clarity of policy frameworks and objectives, we have to rely on consistent application of policies within those frameworks and towards well understood goals.And we have to rely on a weaker Australian dollar which he saw as a helpful support for the economy as the mining investment boom cooled and he gave traders another reason to sell.If you think the terms of trade will fall further, which is what most people think, then it will be kind of surprising if respond to that at some point.And if you accept that there's further interest rate cuts in the locker, then I think that's also going to weigh on the Aussie dollar.The Australian dollar took an
immediate hit falling 1.5 US cents, a victim of the Governor's comments and some weak economic data.Now the Reserve Bank's hoping for a housing-led revival hit another stumbling block in June with a big fall in building approvals. New home approvals dived almost 7% last month driven by the typically volatile numbers for units and apartments. On the positive side private sector detached housing rose for the 6th consecutive month. And building approvals were high over the quarter. The figures come a day after BIS Shrapnel predicted an uncomfortably slow pace for recovery for construction.Apple's embroiled in another labour abuse scandal. New video has emerged that exposed poor conditions for Chinese workers at a major Apple contractor. It comes after Apple supplier Foxconn was forced to change its workplace practices after widespread breaches were found at its factories.Standing for up to 11 hours a day, these are the workers making some of the world's most popular gadgets. This hidden camera footage is part of an investigation by a labour rights group which claims staff at these Pegatron factories have been forced work unpaid overtime and live in squalid conditions on site. supplier and China Labor Watch says the company violated dozens of international and Chinese laws and standards relating to underaged labour and contract violations.Pegatron was really racing to the bottom when it comes to labour conditions. They got this order from Apple because they kauld offer a lower price and they offered that lower price by suppressing or squeezing their workers.It's not the first time Apple has run into troubles with its supply chain. Last year an audit of another supplier, Foxconn, found serious noncompliance with Chinese labour law. Again citing forced overtime as the top concern. For years Foxconn produced nearly all iPhones Andi pads but under Apple's new CEO the tech giant split its supply chain for evenly. What we wanted to ask and we wanted everybody to ask is why is Pegatron winning more orders this year. Why did their proportion of orders go up because their conditions are relative to Foxconn worse.It said in a statement it was committed to providing safe and fair working conditions throughout its supply chain. The tech giant said it had conducted 15 audits at Pegatron facilities since 2007 that covered more than 130,000 workers.An iPhone retails in Australia for as much as $999 Australian, according to China Labor Watch, workers usually earn around half that in an entire month.It does concern me but I'm not sure how I can make better choices.It's moral confusion that's not uncommon. Leeora Black who advices major companies on corporate social responsibility feels etages - ethics are now starting to affect purchasers.Consumers are likely not to think too deep and hard about some practice they don't like, they will just stop buying.With component suppliers with wafer thin margins that's an outcome they're keen to avoid. Pegatron says it's investigating the allegations and that it holds high standards.The petrol wars seem to be hotting up with prices at the bowser now at the regulator the ACCC 5-year highs and a report from the regulator the ACCC due in the next few the regulator the the next few months. That hasn't stopped chairman Rod Sims being vocal this hasn't Sims being vocal this week.
Joining me in Sims being Joining me in the studio is the Motley Fool's Scott Motley Fool's Scott Philips. Welcome. Rod Sims seems to be particularly the shop adocket s which are getting the shop getting popular.If you think back when these things first came into being, when the first Woolworths and Coles petrol stations were open, the ACCC to do this. Sims obviously a change at the ACCC but also he mentioned dockets of up to 45 cents a litre of petrol savings, up to that level potentially hurting competition in his view. A little hard how that's going to happen for consumers right now.Some analysts seem to be commenting that petrol discounts do win over customers from other petrol stations but Woolworths, Grant O'Brien, has come out fighting from the independents and players in the market over the last decade.It's a bit hard to justify that particularly. He's comparing the big chains with the new big chains, the larger BPs, the Shells, Caltexes are the new now the woollies and the Coles. Let's remember this isn't about petrol retails, it's about supermarket retailing. Woollies and Coles don't necessarily want to be in petrol. They're doing it specifically to get more customers in their supermarket doors in the first place.That's interesting because if the ACCC managed to somehow ban this little operation, it will set quite a precedent, I think even Rod Sims acknowledged that and it could en have implications for the dollar a milk?Absolutely. This is going right through saying how tough can the competition be? At the end of the day this is still better for consumers but Rod Sims' view is by harming other players in the market this is potentially down the track going to hurt competition if there's only Woolies and Coles left.Let's move to ecommerce because there was a survey in 'The Age' that Australians are the developed world's most frequent online shoppers at international retailers according to BCG?And probably not a massive surprise. We had the dollar around 1.04, $1.10. Australians have absolutely embraced online shopping. I believe Netta Porter Australians are number 2 consumers behind Americans themselves of that US site.And yet at the same time there's an article in the 'Financial Review' saying that retail landlords are spending $11.5 billion on shopping centre developments. Bricks and mortar in these really tough conditions?There's two ways to look at it. On one hand you conditions?There's the retail landlords maybe they're throwing good money after bad, the other is these guys are smart guys. The consumer downturn has been a cyclical downturn, not a structural one. Online is another space for competition to come. There's also the international players arriving in Australia, the Zaras the Top Shops. The retail space has always been tough. Westfields, Lend Leases will spend their money on shopping centres when they think they can make a buck.I'll just mention two Fairfax papers, the story in a way at the moment is Fairfax and the Murdoch press seem be and the Murdoch press seem to
be having that Fairfax is be having a field day. Claims ditching the Monday to Friday print that Fairfax is considering
ditching the Monday to Friday print editions of 'The claims denied very the 'Sydney Morning Herald' claims denied very strongly by claims denied very strongly CEO Greg Hywood, do you think there's anything in it?Fairfax have come out and said when have come out and said it's no longer profitable to do print newspapers they will stop it. This time two years ago they were saying maybe, possibly, now they're saying it's a case of if not, when.It absolutely will happen in time, Fairfax coming out and saying they're still profitable, they want to make fizz - physical papers. There's some really nice brand cache for their online papers but the future is digital and that's where their bread will be buttered in the next couple of years.Scott Philips, thanks for joining us.So the RBA Governor's speech caused plenty of ripples for the market. Watching for us was Evan Lucas from IG Markets and I spoke to him just after the close. So Evan Lucas, I see the Reserve Bank governor speaks and the dollar plummets, we should be wheeling him out twice a week, shouldn't we?We should. And having a look at what's going on in the markets some are suggesting that the private banks might get on and actually just cut rates now before we even see next Tuesday's rate decision. The swaps market now believes there's an 86% chance of a 25% 25 rate cut next week. We saw the Aussie dollar absolutely plummeting on his comments regarding basically the mining system, what it's going to look like post the
mining boom. We dropped into the 90 cent handle and by this time tomorrow you will the 90 cent handle time tomorrow you will see us into the 89 time tomorrow you into the 89 cent handle as well. It's been a very interesting day for the Aussie dollar and yes, Glenn Stevens well and truly has caused that reaction and expectations well and truly has caused reaction and expectations now are for a guaranteed 25% basis point cut and some are suggesting as much as 50 basis points bringing us down to 2.25% if that does in fact be the case.Boy, that's a big call. Now what about other points of interest in the market and the impact on stocks?Having a look at the whole market. Once Glenn Stevens came out with that and the Aussie dollar started to fall away it was a good factor to the material space and the energy players. They actually picked up a lower Aussie dollar obviously has good influence on their bottom line. Higher profits an better earnings is what we're looking for from them and they picked up on that result as well. More in stock specifics, we saw Woolworths coming out with their fourth the
quarter results. In terms of the headline numbers it was pretty good. They came out with some good quality results, up around 8.9% to $14.1 billion and that was in line with estimates and like for like sales were really strong as well at 2.9% versus 2.3 on the estimate consensus. But the market wasn't all that impressed with it. It shed Woolies stoock heavily down 1.8% on the close and as much as 4% in the morning and the reason for it is there is a bit of a concern with price deflation in food. It's down 3.5% month on month and they're seeing soft sales in their Big W brand also well flagged, the Masters and their petrol is a bit weaker. The market probably had a good reason to shed away and that's why we saw Woolworths being sold off this afternoon.And Beach Energy seemed to please the investors with its production numbers?Yes, the energy space is an interesting space to be at the moment. We saw Santos and Woodside being strong. Beach, a smaller player in that energy space came out with around 8 million barrels of oil equivalent for their full-year results and quite strong quarterly results up 23% to around about 2.2 million barrels of oil equivalent and a record quarterly sale number of $200 million. So good result coming out of Beach. It means they jumped up around 2% on the close and had a good day in terms of where they've been at. Considering natural gas and oil is one of the only two commodities to be in the green it was a good day for Beach Energy.Thanks for that round up.Thanks, Ticky.And to the other major movers on the local share market. Billabong continues to bob around like a cork in a bath.

Last week we heard about the best results Last week best results in 16 years, best results in 16 years, first super fund accounts with median super fund accounts with returns of 15.6%. But returns since the GFC don't paint such a good picture for everyone, according to super expert Jeremy Cooper now at Challenger. Indeed, to get your super investment plan right over a lifetime could take a bit of tinkering. I spoke to him earlier.Jeremy Cooper, welcome to the program.Hi, Ticky.The best returns for super since the GFC really but why might this not be such a rosy picture if you are already a retiree.Well, the dynamics are really completely reversed so if you're say aged 40 and still working and contributing to super and there's a severe downturn like the GFC, what you're effectively doing is getting the opportunity to buy at low prices. You don't need the money, you're not drawing it out so each time a contribution's made on your behalf you're actually buying into the markets at cheap prices and then overtime the theory is, and we've seen this happen on this occasion, the prices come back and you've done rather well. But if your retired not only are you not contributing so you don't get the chance to buy at the cheap prices, you are having to sell and consume your retirement savings. This is what super is for, when you retire you actually use the income and sometimes the capital and ultimately in a lot you use all the capital to actually fund your retirement. So when we talk about super recovering and so on we tend to always use an accumulation mindset and we don't think about the retirees and the mathematics for them is quite different.So if you are somebody now, you're a young worker how setting yourself up for retirement?Well, I suppose, you know, it's a setting yourself up for you know, it's a very, you know, it's a very, very long-term game. So superannuation is kind of at least a superannuation is kind least a 40-year proposition during your typical working life least a 40-year life and then it might sustain you for another 25 or 30 years in retirement. So there are a lot of phases to go through and it's quite right to tell younger people look, you know, don't change your settings, stay the course, just keep contributing.But it sounds as though what we're saying is that if you are a young and contributing worker this sort of market works for you alright but what should you do once you have retired? Presumably a different strategy?Well moving into retirement , there's a thing called the retirement risk zone, if you like, which is leading into retirement and actually the early years of retirement when you've really got the most to lose. You've built up a very large amount of savings and a correction can really knock a big market downturn when you're 25 hardly affects your sort of saving experience overall but if you're 57 or 62 or something and you've got a very - the largest amount of savings you will ever have and then all of a sudden you have a devastating 15% journ turn and then another 15% or something like that you can find your nest egg that you've spent decades building up, you can find it eroding. So the theory is that as you approach retirement you derisk, you try and avoid the sort of volatility that the typical growth orientated superannuation account is exposed to.Now at the other end of the spectrum, another factor is the means test of the aged pension and Alan Kohler has spoken about this before and it basically encourages retirees to actually spend their lump sum so that they then qualify for more of the pension. Does this not mean that we need to look at annuity structures as many other countries do?Well it's true, Ticky that, a lot of other retirement systems are built around something like an annuity, something in retirement that gives you a lifetime income and of course the aged pension is actually the perfect annuity. It's a very secure fortnightly payments, adjusted for wage and price inflation, it's actually a Rolls-Royce retirement product, for most Australians it's not enough money. Thinking about what a retirement product should actually look like the aged pension is really the gold standard. And it's the challenge is for the industry to try and emulate a product that looks like that rather than a highly volatile accumulation style product that then is just resprayed and called a retirement product and it's fundamentally the problem that we've been talking about.And meanwhile we hear we've got about $20 billion taken off by the superannuation industry in fees. I'm just wondering whether it's not time for another one of, you know, those Cooper style reviews?Not another review, Ticky, surely not. Look, it's an ongoing, you know, it was recently said that superannuation 's really a public/private partnership, that it's a big public policy idea that's done by the private sector and so the private sector including not for profits and so on. So there's always a bit of attention around how much the agents are rewarding themselves and how much is being done in the public interest. And that's just the system that we've designed. So yes, the question of fees and costs and how much is taken out of people's retirement savings in costs and fees is always going to be an issue.Alright, perhaps we ought to let my super run its course if - for a little while. What about the upcoming economic statement? What would the industry fear the most, do you think, from any changes that might be done to shore up the fiscal position?Change itself, Ticky, I think it's widely accepted that there really has been an change, an awful lot really has been an awful lot of change, an awful lot of
tinkering change, an awful lot tinkering and in some cases quite dramatic tinkering and in quite dramatic in being in one direction one minute and in quite direction one minute in quite a opposite direction
in quite in another.Well, in example, about a in another.Well, what, for example, about a change in the same direction as what happened at the Budget which was that the high end was hit, people earning more than $300,000 a year paying that 30% in contributions tax, is that likely to go higher, would that be a concern?Look, I must admit I don't see changes like that on the horizon.And what about do you think there's any chance that the Labor Government might latch on to the Opposition's idea of a delay to the compulsory super contribution?I certainly haven't seen any sign of that, Ticky, no.Alright, well we'll have to wait and see with baited breath, Jeremy Cooper, thank you for joining us.Thanks, Ticky.And a brief look at other business stories, making news. Apple's flagship iPad is feeling the heat of the competition. Android tablets have taken the lead in the quarter. Number cruncher strategy Anlitics says worldwide shipping of android tablets hit 67% of market share to Apple's 28%.And following our report on the viability of electric cars, BMW has unveiled its first electric vehicle. The I 3's launch event was simultaneously staged in New York, London and Beijing. Priced at US $41,000, the I3 could be in Australian showrooms next year. The world's biggest luckts - luxury car maker has a battery I 8 sports car on the drawing board. And wfr we - before we go a look at what's making business news in overseas newspapers. The 'Wall Street US are starting to hire new teachers, fire fighters, US are starting to hire teachers, fire fighters, and police officers as a deep slide police officers in local government employment appears to have bottomed out 4 years after the in local government employment
appears to have bottomed out 4 years after the GFC.And Britain's 'Daily Telegraph' says a double dose of good news for Britain with lending to small businesses expanding at its fastest pace in more than 2 years its fastest pace in more years and retail sales soaring in the summer heat.That's The Business. You can watch the show Monday to Friday at 8:30 each night on ABC News 24 as well as after 'Lateline' on ABC 1. I'm Ticky Fullerton, thank you for watching, goodnight.

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This Program is Captioned Live. Tonight, the Muslim Brotherhood call for a million man march in Egypt in support of the the posed President President Mohamed Morsi.We'll stale here till the legitimate President returns, we will not leave unless our President is free.As the protest resume the EU's chief diplomat Catherine Ashton meets with Morsi.He's well, and we hat a friendly and open and very frank discussion.

Also ahead - while open Coalition outlines plans for a tent city on Nauru, the Government confirms the first aslyum seekers to come unther the Papua New Guinea plan are being transferred to Manus Island. The former Italian PM Silvio Berlusconi says he won't seek exile if he's unsuccessful in his final appeal against a four year jail sentence and ban from public office for tax fraud. And in Washington, it's day two of the first peace talks twine Israeli and Palestinian negotiators, in nearly three years, hosted by the US Secretary of State John Kerry.Hello, I'm Jeremy Fernandez, welcome to the program. It's 1pm in Cairo and the Egyptian army is warning supporters of the ousted President Mohamed Morsi to stay clear of military areas, during protests planned for later tonight. Mr Morsi's supporters say they want a million people to take part in the rally which begins at sundown, the ABC's Philip Williams reports from Cairo.In the oppressive summer heat supporters of ousted President Mohamed Morsi stand their ground. The police are hooligans they chant, everyone here is prepareling for an expected assault. TRANSLATION: We will still here until the legitimate President returns, we will not leave unless our President is free and all of his rights are restored. They will have to bomb to us make us leave .Troops stationed in the capital and beyond are awaiting their orders, everyone watching for the next move. The tension building on all sides. E-U foreign affairs chief Catherine Ashton meet with interim President Adly Monsour and the morn offence many Cairo tryling to calm a volatile situation. And in a surprise move away from the cameras she also spoke to the deposed President Mohamed Morsi who hasn't been seen publicly since his detention on July 3. Away from the protest, the city looks normal but the tranquillity of the Nile belies a nation in tomorrow yoil. The Muslim Brotherhood has called for a massive show of force later today. They want a million people in the streets and time is running out for a country short on tolerance and