Confidence lowest since tech wreck

Business confidence has taken a beating in the face of the global credit crunch, sharemarket volatility and high interest rates. The latest survey of 500 businesses conducted by NAB reports a 10 point drop in the index measuring confidence about the June quarter, to be at levels similar to the global technology stock crash in 2000 and 2001. Key retailers are growing anxious about the effect of interest rates on consumer spending and confidence is particularly low amongst businesses in the finance, insurance and property services industries.

Source: The Australian Financial Review