The 15-nation Euro zone group is officially in recession, while in the US, Speculation veered around possibilities possibilities of bankruptcy of corporate icon General Motors
Europe in the fear of Recession
- The economy of the 15 nations sharing the euro has slumped into recession for the first time ever, with GDP falling 0.2 per cent in the second and third quarters of 2008.
- Italy's GDP shrank 0.5 per cent in the third quarter from the previous three months, its sharpest quarterly decline since the end of 1998
Asia trying to do more
- Japan said will offer to lend up to $100 to billion to the international Monetary Fund for financial aid to emerging economies
- China said it could work with the IMF to help countries hurt by the global financial crisis
American Economic Woes continues
- US policy-makers are debating about a bailout for the automobile sector. the South Korean unit of General Motors announced a two-week shutdown of its plants due to slow sales
- Investor Wilbur Ross, famous for turning around sick units, said a GM bankruptcy might devastate the US economy.
- The US Federal government began the new budget year (Oct 1) with a record deficit of $237.2 billion for the quarter.
