Friday, December 5, 2008

Mixed messages in NZ

This is all from yesterday, I have the radio on frequently and catch little bits and pieces while working on the computer.

Earlier in the day, some economist (allegedly qualified) made the claim that unemployment here in NZ is expected to go from 4% to 7% in 09; HOWEVER, she stated the economy will "improve" as homes become cheaper which means people must have more money to spend.

Yeah, what the hell right? She tried hard to stay on the optimism script, the anxiety was heard through her tone.

Productivity is expected to drop, real estate investors (bulk of uninformed New Zealanders) will take increased losses, coupled with losing currency... I don't think anything will likely improve. Of course I could be, and hope to be wrong, just not likely.

Oh and it gets better. Later in the afternoon, the central bank here lowered interest rate by a point (of course the NZD currency upside bets are going "OMFG we're going down!") and declared that "the recession is over!" hahaha

Happy times are back again, according to most newbies. Time to brace ourselves.

0 Reflections: