Financial Markets

With the announcement of the US Govt. to spend $700b to bail out their woeful financial crisis as it looms ever closer to imitating the Great Depression of the early 1900's forged a refreshing light of hope in the global economy today with the NZ share index doing better on monday's trading. Japan also saw a rise but still far from recovering at this stage. The NZ Herald marked that the US Govt's spenditure on its 'bail out' plan is 6-7 times that of the NZ GDP which is equivalent to NZD$1T(one trillion).
Now thats a spicy meat ball.
In the time of 9/11, the economic industry was hit quite hard but it quickly recovered. However, the emergence of the Global Credit Crunch, rising fuel & food prices has meant that this will be around a little longer making short term gains. NZ has entered into a recession which I'm unsure if it has been fully declared but has been noted by many of our Govt leaders in many instances recently. We have seen property prices bottom out and realty sales drop and interest rate stay high where only recently they have started a slow reduction process but has meant financing for the overage NZdr almost a nightmare especially for the first home buyers.

The economic future of New Zealand is yet to be determined after Nov 8th elections where the gap between National and Labour parties is large at present, is expected to narrow in preceeding weeks to the debates and electoral votes.