Eddie Obeid

The economy struggles, again

It’s another bad day for global markets. Wall Street had its worst day since the Black Monday crash of 1987, while ASX futures are down 4.1%.

According to a report in The Australian Financial Review, most world airlines could be bankrupt by the end of May. Overnight, Scandinavian Airlines announced it was suspending commercial flights and cutting 90% of its staff (10,000 jobs). Qantas and Jetstar announced they would cut 90% of their international capacity and 60% of their domestic capacity until the end of May.

It’s that deterioration in global markets and sluggish economic activity that have continued to raise fears that we’re at the beginning of a recession.