Australian budget changes threaten housing supply while critical minerals surge. The Federal Budget's negative gearing and capital gains tax adjustments appear designed as revenue grabs rather than solutions for first-home buyers, ultimately restricting new housing supply and maintaining elevated prices. Meanwhile, the $250,000 sophisticated investor threshold remains unchanged for two decades, proving outdated against inflation. In brighter news, tungsten plays are performing strongly as supply shifts reshape the market. Viking Mines and Sky Metals benefit from China's export restrictions, with Sky Metals' strategic pivot to tungsten as core focus proving timely. In lithium, Lake Resources demonstrates resilience through direct lithium extraction technology, avoiding sulphuric acid supply chain pressures that burden traditional hard-rock processing.
