Last night Wall Street indexes stabilised and actually recovered a bit. Alan Kohler points out that at this point it was only half a correction – a fall of about 5% versus the standard definition of a correction, which is 10%. But it was a brutal couple of days, and market corrections usually go for weeks, not days, so it might not be over.
Today’s Overview from Alan, as you’d expect, is a detailed look at what happened, and why, including a conversation on the matter with our friend Gerard Minack.
Alan also looks down into the dark hole that’s opened up in the Australian mortgage market by the retreat of the banks, and report on the latest estimate of what the royal commission is going to cost them.