Book Reviews | Gordon Campbell | News Flashes | Scoop Features | Scoop Video | Strange & Bizarre | Search


Molesworth & Featherston (Weekend) – Sept. 10 2006

Molesworth & Featherston - Weekend Update edition

Business and Political News
September 10th 2006

Direct Link To This Week's Weekend Update Edition:

Mild side

The economy has been doing better than expected, Treasury has told ministers in its latest monthly economic update. But the figures are still modest - Treasury says growth in the year to March 2007 will come in at around 1.5 percent, only a tick better than the one percent growth forecast in the Budget.

Better news is in the composition of the improvement. Treasury expects the current account deficit in the current three months (July-September) to be much reduced from its horrendous levels because dairy exports are up strongly. This was an improvement Treasury expected would come later this year. Meanwhile, imports are weak. Expect the economy to grow half a percent in this three months, and possibly more. The current slowdown “appears to be relatively mild compared with New Zealand’s historical experience,” Treasury concludes.

Meanwhile forecasters at the NZ Institute of Economic Research say growth will reach its low point in the year to next March and won't pick up much the year after. The forecast has improved compared to its last pick, in June, although NZIER now thinks we’ll do worse next year than it had previously believed. It thinks the labour market is slowing and unemployment will increase to five percent of the labour force over the next two years.

On the other hand Westpac thinks manufacturers could be in for a pleasant surprise. While manufacturers are glum about falling profitability as a result weak domestic demand, strong international competition and rising costs, there are some positive balancing sweeteners: The lower dollar and reasonable world economic growth.

Westpac says manufacturing profit margins are closely related to the value of our dollar relative to the Aussie dollar - and since our dollar is down on the Australian, profit margins are likely to be getting better.

“One gets the feeling that manufacturers are in for a pleasant surprise - with margins turning out to be higher than currently expected,” Westpac concludes.


The Weekend Update is a complimentary, condensed edition of the paid-subscription only Governor’s Edition published earlier last week.

The ‘Governor’s Edition’ of Molesworth & Featherston is released from its trap deep in the Earth every week.

Bulk subscriptions are available with heavy discounts for organisations to send one to every decision-makers’ in-box.

Just email us for details or secure an individual subscription online through the awardwinning Good-Returns site with your credit card HERE.

Direct Link To This Week's Weekend Update Edition:

© Scoop Media

Top Scoops Headlines


Werewolf: Living With Rio’s Olympic Ruins

Mariana Cavalcanti Critics of the Olympic project can point a discernible pattern in the delivery of Olympics-related urban interventions: the belated but rushed inaugurations of faulty and/or unfinished infrastructures... More>>

Live Blog On Now: Open Source//Open Society Conference

The second annual Open Source Open Society Conference is a 2 day event taking place on 22-23 August 2016 at Michael Fowler Centre in Wellington… Scoop is hosting a live blog summarising the key points of this exciting conference. More>>



Gordon Campbell: On The Politicising Of The War On Drugs In Sport

It hasn’t been much fun at all to see how “war on drugs in sport” has become a proxy version of the Cold War, fixated on Russia. This weekend’s banning of the Russian long jumper Darya Klishina took that fixation to fresh extremes. More>>


Binoy Kampmark: Kevin Rudd’s Failed UN Secretary General Bid

Few sights are sadder in international diplomacy than seeing an aging figure desperate for honours. In a desperate effort to net them, he scurries around, cultivating, prodding, wishing to be noted. Finally, such an honour is netted, in all likelihood just to shut that overly keen individual up. More>>

Open Source / Open Society: The Scoop Foundation - An Open Model For NZ Media

Access to accurate, relevant and timely information is a crucial aspect of an open and transparent society. However, in our digital society information is in a state of flux with every aspect of its creation, delivery and consumption undergoing profound redefinition... More>>

Keeping Out The Vote: Gordon Campbell On The US Elections

I’ll focus here on just two ways that dis-enfranchisement is currently occurring in the US: (a) by the rigging of the boundary lines for voter districts and (b) by demanding elaborate photo IDs before people are allowed to cast their vote. More>>

Ramzy Baroud: Being Black Palestinian - Solidarity As A Welcome Pathology

It should come as no surprise that the loudest international solidarity that accompanied the continued spate of the killing of Black Americans comes from Palestine; that books have already been written and published by Palestinians about the plight of their Black brethren. In fact, that solidarity is mutual. More>>


Get More From Scoop

Top Scoops
Search Scoop  
Powered by Vodafone
NZ independent news