NZ Introduces Modern Slavery Reporting

Good Morning,

Large New Zealand companies will be required to report and outline the actions they will take to address exploitation risks in their operations, the Bank of Japan today stated they would adopt “greater flexibility” in managing its yield curve control policy, Donald Trump was hit with new obstruction charges and Amazon has taken its first steps into offering AI to the healthcare sector.

Let's jump in.

Before The Bell

Markets

• The New Zealand sharemarket fell after the latest consumer confidence survey showed the mood had deteriorated (Stuff)

• Australian shares were swept up in the volatility that struck Asian markets on Friday afternoon after news from the Bank of Japan (AFR)

• The Bank of Japan today stated they would adopt “greater flexibility” in managing its yield curve control policy. The market response to the BoJ’s move was instant, as the 10-year rate broke through the 0.5 per cent peg to trade at 0.565, its highest level since 2014. The Japanese sharemarket plunged 2 per cent (AFR)

• Singapore home prices fell for the first time in three years in the second quarter, adding to signs that the property boom is starting to moderate (BBG)

• The US economy shined in its latest report, supporting calls that it can dodge recession despite the most aggressive interest-rate hikes in a generation (AFR)

• France’s economy grew significantly faster than estimated and inflation eased, providing a positive surprise as rising interest rates stoke recession fears in the 20-nation euro area (BBG)

Earnings and Data

• Fund manager Fisher Funds has seen its revenue and profit fall sharply in the 2023 financial year, with the $77.1 million performance fee it booked in 2022 falling to nothing this year (NBR)

• New Zealand has recorded a small trade surplus of $8.8 million in June, with a lift in exports and a fall in imports last month (NBR)

• Stats NZ data shows exports nudged by $84m higher to $6.3 billion, when compared with the same month last year, while imports fell $1.1b, also to $6.3b (NBR)

News Summary

• Companies with more than $20 million in revenue will be required to report and outline the actions they will take to address exploitation risks in their operations in legislation proposed today by the New Zealand Government (NBR)

• The majority shareholder of 2 Cheap Cars has struck a deal with his co-founder, who suddenly quit the company amid a mass board exodus a year ago, to buy out his 30% stake in the business (NBR)

• A company developing a boutique hotel in Wānaka has been ordered to hand over documents to its 50% owner amid concerns the man’s $10 million investment has been advanced to third parties without his knowledge (NBR)

• Donald Trump was hit with new obstruction charges in the criminal case over his handling of classified documents, including allegations that he and two employees attempted to delete surveillance video footage at his Mar-a-Lago estate last year (BBG)

• Amazon has taken its first steps into offering AI to the healthcare sector with a tool that automates note-taking during patient consultations and creates summarised clinical notes (Stuff)

• Victoria, which has the highest use of residential gas in Australia, will ban gas connections to all new homes from next year (AFR)

Deal Flow

Investments / M&A

• Hospitality company New Zealand Venue Co has taken its portfolio of bars and restaurants to 13, after acquiring two venues in Auckland (NBR)

• AstraZeneca said on Friday its unit Alexion has agreed to buy U.S. drugmaker Pfizer’s early-stage rare disease gene therapy portfolio for up to $1 billion USD, plus royalties on sales (RT)

• BPEA EQT, part of Swedish private equity firm EQT said on Friday it has completed the merger of its Hong Kong-based business services firms Vistra and Tricor, valuing the combined entity at $6.5 billion, including debt (RT)

VC & Fundraising

• Brazilian miner Vale said on Thursday it reached two separate agreements to sell a 13% stake in its base metals business for $3.4 billion USD, aiming to boost its copper and nickel output (RT)

Daily Picks

• Check out this article from Stuff on the expected movements of the New Zealand housing market as 2023 progresses

Job Board

New Zealand

• ASB rural banking graduate - Apply here

• Waterman Capital investment analyst - Apply here

Australia

• Citadel Securities graduate and intern roles - Apply here

• Goldman Sachs Investment Banking Intern - Apply here

• IMC graduate and intern roles - Apply here

• Jarden

  • Graduate role - Apply here

  • Summer internships - Apply here

• Macquarie graduate roles - Apply here

• Optiver

  • Graduate role - Apply here

  • Internships - Apply here

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