Here's my summary of the key overnight news in 90 seconds at 9 am, including news that virtually nothing is being progressed in the US budget debate.
It's nearly a week into the US Government shutdown, and signs of economic damage are limited to stalled contracts and lost tourism revenue. But the risk of a long closure is raising concerns among economists, executives, and foreign countries.
If you want to understand what is at the heart of the Republican strategy in the House of Representatives in the US Congress, you could do worse than read what Paul Krugman has to say in his searing commentary.
China has 'warned' the US of the implications of not getting a debt limit deal. Japan has added its voice. But these creditor countries are as trapped in the situation as anybody.
However, in this winner-take-all battle in the US Congress, the good thing will be that at the end of it, we should have a winner, which will set the scene for years to come. The period of endless 'threats of default' should be passed. But we may still have to wait for a few weeks yet to get to that point.
Meanwhile, Greece says it will return to growth in 2014 and has a new Budget that forecasts a surplus. Not everyone is convinced, of course, but some big private sector investments back up the turnaround.
And in Britain, the float of the SOE Royal Mail appears to be a run-away success.
The World Bank cut its 2013 forecast for developing East Asian economies to 7.1% because of slower growth in China and other nations in the region.
This morning we will get the important NZIER Quarterly Survey of Business Opinion, a survey that has given early reliable signals to the state of health of the New Zealand economy.
Oil, gold, the Dow, and commodities are all range trading. Benchmark yields are doing the same, as are exchange rates.
The NZ dollar starts today at 83.3 USc, 88.3 AUc, and the TWI is at 77.1.
The easiest place to stay up with today's event risk is by following our Economic Calendar here »
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3 Comments
Congratulations to the 2013 Nobel Prize winners for Medicine , Rothman , Shekman and Sudhoff , who've unveiled how molecules are transported both within and outside individual cells , and how those parcels of molecules arrive exactly where they're meant to go to .....
.... their next project is to apply their knowledge to the NZPO ...
Not done and dusted yet Gummy.....
There can be no assurance that the Offer will be successful, either in whole or in part. Warrnambool is also the subject of a non-solicited takeover offer launched by an Australian dairy company on September 12, 2013, which offer includes a consideration of cash and shares at an implied offer price of AU$6.30 per Warrnambool share, calculated on the Australian bidder's share price as at the close of trading on ASX on October 7, 2013.
It would be interesting to know who is bankrolling Bega's crack at Warrnambol - it's shareholders or 'behind the scenes Fonterra'?
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