The roller coaster ride for Australian investors continues.
The stock market has recovered after a horrible day and night overseas where global markets plummeted to their lowest level in two years.
Retirees have been watching their share prices with concern.
Anna Hawke reports.
Australia has seen a massive $55 billion loss from the stock market in a 24-hour period.
But it’s been recovering today after an overnight rally with bargain hunters looking for cheap shares.
The unpredictable market has many retirees worried about their superannuation but Treasurer Scott Morrison thinks the economy is performing well despite the loss, and warns against panic.
Scott Morrison, Australian Treasurer: “We know that we have to swim against the tide in many respects and we’re swimming against the tide, I think, incredibly well.”
Financial experts say in the long term markets will recover and point out that the same downturn then recovery happened just a month ago.
Investors got a scare when a London based mining and trading giant crashed on Monday.
But it released a statement saying it will pay back debts and mothball under performing mines and the overall mining sector was not badly hit.
Economists say the general health of Australia’s economy is good.
Michael Pascoe, Finance Expert: “We’re growing reasonably well on a world wide basis. Not as well as we’d like but we’re still growing strongly so the fundamentals are still what they were.”
Tomorrow Prime Minister Malcolm Turnbull will sit down with community leaders for a mini summit on GST, company tax and retirement incomes, in a bid to help consumer and investor confidence.
Anna Hawke, QUT News.