The Reserve Bank warning that Australia could be exposed to "vulnerabilities" - Talking Business 2012 - Ep35

Summary: Leon and Garry discuss issues including: European Central Bank President Mario Draghi expecting the Eurozone to pick up next year while the International Monetary Fund is set to lower its growth estimates for the global economy while economists warn that Germany is headed for a recession. The World Trade Organisation has also slashed its 2012 global trade outlook, citing the eurozone debt crisis and weak growth in the US and China as key factors behind the downgrade. Paul Volcker, the former US Federal Reserve chairman credited with taming the inflationary threat of the 1970s, warning that further quantitative easing will fail to repair economies in Europe and the US. The Conference Board in the US saying US consumer confidence jumped this month to the highest level since February, bolstered by a brighter hiring outlook. A Bank of China report claiming the local economy has bottomed out over the second quarter of 2012 and will return to eight per cent across the year. Former prime minister Malcolm Fraser saying that US military bases on Australian soil pose a danger for Australia's relationship with China. This comes at a time when Chinese sovereign wealth fund Chinese Investment Corporation is negotiating to secure a stake in Tasmanian dairy operation Van Diemen's Land Company. The Reserve Bank warning that Australia could be exposed to "vulnerabilities" in Asia sparked by fallout from Europe's unresolved debt crisis Treasurer Wayne Swan saying the slowdown in the resources sector would significantly hit government revenues, making the government's efforts to return the budget to surplus more difficult. Money market pricing saying the Reserve Bank of Australia will probably decide to cut interest next week. Timber company Gunns Ltd entering voluntary administration, blaming the refusal of its banks to allow it to keep the proceeds of asset sales to keep the company afloat. Harvey Norman scoring the poorest customer service rating of Australia's major retailers, in a new survey by consumer advocate group Choice. Chinese telecommunications giant Huawei Technologies being urged by company board member and former Victorian premier John Brumby to consider a float on the ASX among other measures. A trio of local councils winning their multi-million dollar claim against the Australian arm of Lehman Brothers, with the Australian Federal Court today ruling the investment bank had breached its fiduciary duties and acted negligently. Solly Lew’s Premier Investments posting a net profit of $68.248 million in the full year to July 30, a 68.4 per cent rise on the previous corresponding period. The head of Australia's biggest electricity retailer Grant King receiving a pay rise, taking his remuneration package nine per cent higher to above $8 million while Suncorp boss Patrick Snowball receives a 50 per cent pay rise in the 2011/12 financial year to $8.27 million. BHP Billiton Ltd announcing it will axe its Port Hedland project, with the impact to be felt largely by project contractor NRW Holdings Ltd.