Celebrating 25 Years of Scoop
Special: Up To 25% Off Scoop Pro Learn More

Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

BNZ Weekly Overview and Offshore Overview 9/10/08


Welcome to the October 9 2008 editions of the BNZ Weekly Overview and Offshore Overview.

The deterioration in global financial markets has continued strongly over the past week with collapsing sharemarkets, major weakness in the Kiwi dollar at one point below 58.0 cents last night, and central banks forced to inject more money into their national financial systems plus cut interest rates. Australian interest rates have been cut 1% and we expect probably a 0.75% reduction from our central bank on October 23.

During the week we have received confirmation that the surge last month in business and consumer confidence in New Zealand was a blip with sentiment falling away relatively strongly in our own survey and others during the week.

Prospects for the New Zealand economy have deteriorated in light of recent events offshore. While the earlier than expected fall in the Kiwi dollar and interest rates will please many businesses, for the next 12 months these positives will be offset by the global economy probably going into recession. Prospects for tourism and residential construction look especially poor.

In both the Weekly Overview and Offshore Overview we attempt to explain in simple terms what has been happening overseas.


WOOct9.pdf
OOOct9.pdf

Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 
 
 
 
 
 
 
 
 
 
 
 
 

Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.