Skip to main content

Budget 2015 Australian and Iron ore blues


The budget for 2015 in Australia is out , with tv channels, Property investors, Businessmen and the general public waiting with anxiousness to see what it brings. There is no doubt about it there is a deficit in the Australian economy, but its yet to be seen how this budget has been affected by the declining prices of the Iron ore industry and the doom and gloom climate in the oil and gas industry.
Australia's conservative government assumes the price of iron ore, the country's largest export, will average $US48 a ton in 2015-16, well below the $US60-per-ton estimate given late last year. The iron-ore price has collapsed to around $US55 per ton currently, down from a peak of $US185 per ton in 2011. The price hit a recent low of $US43 per ton in April. 

Budget Day 2015 Australia [12 May 2015]

Below are the links you will need to get a full bottle on all the budget news you can eat!

Government website - http://www.budget.gov.au/

BUDGET SPEECH 2015

Delivered on 12 May 2015 by
The Honourable J. B. Hockey MP
Treasurer of the Commonwealth of Australia

Link here - http://www.budget.gov.au/2015-16/content/speech/html/speech.htm

Excerpts from speech

To give you one example, around 1,000 people will now benefit each year from subsidised access to better treatments for certain types of melanoma. Some of these treatments have until now, cost up to $131,000 per course of therapy. Now they are accessible for all Australians.
The Age Pension will continue to increase, twice a year, this year, and every year — at the highest available indexation rate.
New $212 million Youth Transition to Work programme that will fund community workers, on the ground, in high youth unemployment areas.
$5 billion Northern Australia Infrastructure Facility which is the first major step in our plan for our great North.
NEWS + summaries from other media outlets & newspapers
Budget 2015: Joe Hockey delivers billions for small business, cracks down on welfare from http://www.abc.net.au/
· The key points:
- Joe Hockey pledges $5.5 billion for small businesses in second budget
- Small businesses get immediate 100% tax write off for assets costing less than $20,000
- Budget deficit doubles to $35 billion in 2015-16; deficit to fall to $7 billion by 2018-19
- Mining sector's contribution to economy slumps from 45% to 16% over next three years
- Crackdown on welfare fraud claws back $1.7 billion over forward estimates
- $1.2 billion for national security, including fight against Islamic State
- $300 million put aside for farmers battling drought
- No more tax-free working holidays for foreigners
Budget 2015 winners and losers
From http://www.smh.com.au/business/federal-budget-2015
Winners
· Jobseekers over 50: Employers will receive up to $10,000 over 12 months, up from 2 years in the previous budget if they hire and keep an older worker.




· Widows: $900,000 over four years to exclude people who get the Widow Allowance from a one-week waiting period
Losers
· Welfare system defrauders: $1.7 billion saved from increased fraud prevention and debt recovery.
· Rich pensioners: $2.4 billion saved over five years by increasing asset test threshold and taper rate for the pension.
From
http://www2.deloitte.com/

Download the word cloud

2015 Federal Budget speech word cloud
http://www2.deloitte.com/au/en/pages/federal-budget/articles/federal-budget-2015-2016.html?gclid=CJCGpKC0vMUCFQwJvAodJFcAUw

Thermal coal was tipped by the budget to average $US60 per tonne over the next year, compared with the current price for Newcastle thermal coal of $US63 per tonne, excluding shipping costs.
Alan kohler in a TV interview on budget day  indicated that the price fall was majorly due to influx of iron ore  from irons majors Rio tinto and BHP etc  who have brought down prices – making it  tougher  for chinese iron ore producers. In the process  a few smaller australlian miners are in trouble

After averaging around $US125 a tonne over 2013, the iron ore price sank to  $US46.70 in April before recovering to about $US61 a tonne.

Popular posts from this blog

Best Australian stock forums online ( finance forums)

Many traders and investors use forums to share ideas, learn from the more experienced, or simply to stave off boredom during long hours at the computer. Here we list the known universe of forums, complete with costs, member numbers, extra benefits and popular forum topics. Please post a message on Your 2 Cents if your favourite forum isn't listed here, or if you feel that there's more to add about the day-to-day goings on in your online community.Forum
Cost
Stock comps
Forum areas
Comments
AussieStockForums.comFreeASX by share code, General, Beginners, Derivatives, Commodities, International, Strategies/SystemsEasy to use, independent forum. Aussie Stock Forums has a group of very active and knowledgeable traders. Private messaging available. Australian forum.
Chimes in ExileFreeASX stocks, fundamental analysis, technical analysis, commodities, economics, investment tools The forum has a small group of regular contributors that form a genuine community of investor…

The diggers and dealers forum meet 2011

The diggers and dealers forum has just begun August 1. Its a three day annual event happening every year  at the WA country town of kalgoorlie.2011 Diggers & Dealers forumBig name brokers  keenly watching the event will be MacquarieDeutsche BankBell PotterGoldman SachsRBS MorgansEvans & PartnersHartleysBlack Swan Euroz.Well most other websites will give you the  finer details of the annual meet and greet that happens at kalgoorlie , so we will just stick with the bare minimum of details  and focus on the more enjoyable bits  of information that the dealers require to strike a good deal while in town.Bare detailsWebsite : Diggers & DealersEvents : Program and scheduleWatering holes and entertainment at Diggers and dealers forumPubs , clubs  and skimpy (barmaids) culture in kalgoorlie . There are about 25 pubs in Kalgoorlie-Boulder area and for a city that stretches just 67sq km the number of pubs makes for  a good choice on drinking holesand entertainmentExchange Hotel ( Pa…

List of Australian blue chip stocks

Australian shares gained 0.6 percent on Wednesday led by blue chip miners and financials on strong resource price


The biggest Blur chip stocks traded on the ASX, in terms of their market capitalisation, include:
BHP BillitonCommonwealth Bank of AustraliaTelstra CorporationRio TintoNational Australia BankAustralia and New Zealand Banking GroupRio tintoWestpac
The only stock to do worse than the S&P/ASX 200 is Harvey Norman Holdings Ltd [ASX: HVN]. Even so, it’s a better-than-the-bank 8.3% gain. The others have done much better: Qantas [ASX: QAN] up 36.1%; JB Hi-Fi [ASX: JBH] up 20.5%; Toll Holdings [ASX: TOL] up 25.3%; and Myer Holdings [ASX: MYR] up 37.1%. The benchmark S&P/ASX 200 index rose 27.1 points to trade at 4,977.3 by 2310 GMT. It fell 0.8 percent on Tuesday, its lowest close since February 7.