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ASX to rise as Labor announces childcare overhaul

Lucy Dean
·2-min read
Midsection Of Woman Holding Currency
Childcare could be as cheap as $10 a day. Image: Getty

Good morning.

Here’s Yahoo Finance’s Friday morning wrap.

ASX: The ASX is expected to nudge slightly higher amid US investor optimism over a stimulus deal. It finished higher on Wednesday, up 1.09 per cent to 6,102.2 points on Thursday.

Wall Street: US stocks finished ahead on Thursday after US President Donald Trump suggested new fiscal support was on its way. Trump said Congress has restarted discussions over Covid-19 relief after, after he called off all negotiations earlier this week.

Trump: The President sad stimulus talks are beginning to “work out” and that the stimulus will include support for the embattled aviation sector.

"I shut down talks two days ago because they weren't working out. Now they are starting to work out," Trump said on Fox Business Network on Thursday.

Childcare: At home, Labor leader Anthony Albanese pitched a major overhaul of the childcare system as part of his Budget reply. Under the plan, Labor would spend $6.2 billion over four years to scrap the annual childcare subsidy cap and inside increase the maximum childcare subsidy to 90 per cent.

That would mean 97 per cent of families would see some fall in costs, with some families seeing out-of-pocket costs as small as $10 a day. Families could save as much as $2,900 very year.

Energy grid: The other pillar of Labor’s Budget reply was a $20 billion plan to fire up the renewable energy sector and better connect it to the grid.

"Fixing transmission is technology neutral and will allow the market to drive least cost, new energy production," Albanese said, adding that the move would drive thousands of jobs and lower energy prices.

James Packer: James Packer’s majority shareholding in Crown Resorts is on thin ice, with the billionaire admitting he won’t come back to the boardroom after a “painful” time giving evidence at a NSW gaming inquiry.

"This has been a terribly painful and shocking experience for the board, as it has been for me," Packer told the inquiry.

iSelect: The comparison platform has copped a $8.5 million fine after the Federal Court found it misled consumers by not actually comparing all electricity plans offered by its partners.

Dinosaurs: And a T. rex fossil has sold for $45 million. Here’s just why the fossil, named Stan, was so expensive.

With AAP.

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