The Money Café with Alan Kohler The End of the Trump Troubles?
May 15, 2025
This week, the hosts tackle Macquarie's tangled relationship with ASIC amidst a backdrop of compliance challenges. They delve into the implications of reduced tariffs on China and the ongoing friction in the housing market, shedding light on affordability issues and emerging government strategies. The conversation also addresses the looming RBA meeting and potential interest rate shifts. Additionally, they assess how AI might transform productivity and governance in Australia, all while navigating the complex political landscape.
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Episode notes
Macquarie's Reporting Issues Persist
- Macquarie Group has ongoing reporting issues with ASIC regarding short sales for over a decade.
- ASIC Chairman Joe Longo criticizes Macquarie's complacency and stresses market integrity over client money loss.
Trump's Tariff Backdown Analyzed
- Trump's tariff reduction from 145% to 30% on China marks a major de-escalation but not a full trade normalization.
- Markets perceive this as an end to the trade war, though underlying tensions remain unresolved.
Dalio Highlights Broader Economic Risks
- Ray Dalio highlights global issues like excessive debt and expensive US markets beyond Trump-related problems.
- Rising bond yields show investor concerns about US debt sustainability despite equity market optimism.