Housing approvals stall, gold prices rise on instability

ABC NEWS (Australia)

Building approvals slid in July, driven by a big fall in the number of apartment developments. And gold prices have gone up almost 40 per cent this year as investors flock to the safe-haven asset in times of economic instability.

Transcript

00:00No easy fix as we try and build more housing.

00:06The number of apartments approved in July fell by 22%.

00:10Now the data is always lumpy.

00:12The previous month jumped 33%.

00:15But in both units and freestanding houses, the trend isn't shifting as fast as Australia

00:21would like.

00:22There's lots of reasons.

00:24Interest rates are constraining people from building and material costs making it harder

00:28for developers to eke out a profit.

00:31The experts say it takes about a year for lower rates to start boosting the volume of approvals.

00:38The US market was a little down on Friday, but still near record highs.

00:43While the stock exchanges of Japan and Hong Kong went in different directions for largely

00:48the same reason – company results.

00:51Our key index fell lower, but gold miners were very happy.

00:56Just a few words from President Donald Trump threatening the stability of the US central

01:00bank and investors piled in again.

01:03The shiny stuff up almost 40% this year.

01:08The sliding US dollar is also fuelling the rise of gold and other commodities.

01:13On that, the Aussie was mixed.

01:15Next, we're heading towards 111 New Zealand cents for every hundred of ours.

01:22And the competition watchdog, the ACCC, is taking four companies to court, alleging they

01:27fixed prices that they would sell lettuce, broccoli, zucchini and other fresh vegetables

01:33to supermarket chain Audi.

01:35If convicted, a cauliflower cartel.

01:39And that's finance.

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