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Australia news live: Hegseth asks Marles to lift defence spending to 3.5% of GDP; house prices jump after rate cuts

US defence secretary met his Australian counterpart in the wings of the Shangri-La Dialogue in Singapore. Follow today’s news live

More on Hegseth’s call on Australian defence spending

The US Pentagon said this morning defence secretary Pete Hegseth has asked Australia to dramatically increase its military investment in the Indo-Pacific to better align itself with America. The US defence department said the plan would help “maintain peace through strength” in the region, adding:

On defense spending, Secretary Hegseth conveyed that Australia should increase its defense spending to 3.5 percent of its GDP as soon as possible.

What we’ll do is continue to invest in our capability but also our relationships in the region.

No Sydney ferries are running at all due to the heavy fog. Make alternative travel arrangements.

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