The housing industry is hoping the fiscal stimulus package and more rate cuts will boost the market.
PM Rudd calls on banks to help thaw frozen investment funds.
Malcolm Maiden The Government should withdraw its unfair guarantee on bank deposits.
The economy will grow despite recession fears, PM says, pledging to proceed with a carbon trade scheme.
Emissions trading will cut economic growth and push up inflation - but only by a small amount.
One of Australia's top central bankers says high inflation may limit room for manoeuvre on interest rates.
Elizabeth Knight Prime Minister Kevin Rudd's stimulus package is hard to fault in most respects. Its timing is economically brilliant while it is conservative enough to leave something in the can for what could undoubtedly be tough times ahead.
Staff reporters The Australian government will spend $10.4b to stoke domestic demand and head-off an economic recession.
Malcolm Maiden Governments around the world have thrown everything at the financial crisis - Kevin Rudd has just added the kitchen sink.
The $10.4 billion stimulus package to protect Australia from the fallout in global financial markets will help minimise the effects of a possible recession in 2009, economists say.
Australia's plans to launch a carbon emissions trading scheme within two years will not be derailed by the global financial crisis, Prime Minister Kevin Rudd says.
The credit ratings agency rules out the federal government nationalising banks, saying the nation's lenders are far stronger than those in the northern hemisphere.
A key measure of business conditions held broadly steady in September, helped by the booming mining sector.
Michael West Australian banks deposits have been guaranteed. Now it's the time for the Big Four to reveal in full their risky exposures.
The Prime Minister says he was not prepared to stand by and let Australian banks become disadvantaged.
Michelle Grattan and Vanessa O'Shaughnessy The Government will guarantee the $600-$700 billion deposits in Australian financial institutions in a move to shore up local confidence and protect the nation's international competitiveness.
Anne Davies in Washington THE Federal Treasurer, Wayne Swan has warned that the economic crisis is flowing through to developing economies much faster and more brutally than expected - including Australia's major trading partners.
Jessica Irvine AUSTRALIA is likely to avoid recession, but economic growth will slow and more people will lose their jobs as the global financial crisis hits home, the Federal Government says.
Kenneth Davidson Underlying commodity strength will play its part in pulling the country through.
Michael West When confidence is shattered will lowering rates bring borrowers back to the market? The coming days will tell if the world is headed for a Greater Depression.
The International Monetary Fund delivers a positive forecast for Australia despite the deepening global credit crisis, Prime Minister Kevin Rudd says.
Staff reporters The Australian economy shed 15,400 full-time jobs in September, the worst decline in two years.
Malcolm Maiden The financial crisis continued to overwhelm individual actions by governments and their regulators yesterday, and the pressure for unprecedented co-ordinated action is growing.
Ian Verrender CRISIS? Not at Commonwealth Bank of Australia's headquarters.
Ian Verrender SMH FORGET the popping of champagne corks in stockbrokers' offices. Ignore the cheer from the mortgage belt and listen carefully.
Phillip Coorey and Jessica Irvine HOMEOWNERS will receive the biggest single reduction to their mortgage payments in 16 years after a worried Reserve Bank slashed interest rates by one percentage point yesterday to shield the economy against the global financial crisis.
Malcolm Maiden Central banks that fail to guarantee deposits risk sparking an exodus of funds.
Michelle Grattan The Reserve Bank is trying to massively inoculate Australia against falling victim to the international financial disease. In so doing, it has also given the Rudd Government a lot of political cover.
Commercial banks ought to pass on most of the one percentage point rate cut to their customers.
Michael West Australia is no safe haven in the global crisis as our reliance on foreign money has left the economy at the mercy of overseas markets.
The dollar rebounded this afternoon after initially falling on news of the RBA's 100 basis-point rate cut.
IanVerrender Smoke hangs thick in the air as the long-range artillery commanders survey the scene. The job is done, the target softened. It's now time for the ground assault.
Malcolm Maiden You have to wonder what Malcolm Turnbull has been smoking this week.
Michael West Remember the 1990-91 recession? Most pointers signal the coming Australian slowdown will be more severe even if the pundits aren't yet calling it.
Michael West Market relief is likely to be fleeting, with the implications for Westpac and other Australian banks still to work their way south.
Ian Verrender UNCHARTED waters, dangerous territory, storm clouds. Whatever your choice of metaphor, there is no understating the seriousness of the situation in which we now find ourselves.
Jessica Irvine Economics Correspondent THE Reserve Bank is increasingly likely to slash official interest rates by half a percentage point at its meeting on Tuesday, amid soaring funding costs for banks and signs that households are tightening their belts.
Treasurer Wayne Swan has refused to pressure banks to pass on the full amount of any cut in the official cash rate.
Michael West The financial boom that lured a generation of society's brightest and most ambitious is over. There lies some of the upside.
Prime Minister Kevin Rudd has described the US House of Representatives' decision to block the Wall Street bailout as a bad development.
The ever-deepening global credit crisis could impact interest rates locally, Treasurer Wayne Swan says.
Malcolm Maiden Grant Samuel's veiled warning that St George shareholders would ignore Westpac's takeover offer at their peril, the debt extension Centro has won from its banks, the Benelux government rescue of Fortis and a continuing wash of central bank cash into the global system were all crisis control indicators yesterday.
Jonathan Dart A GENERATION of young Australian expatriates are being forced home from New York and London due to the tightening job market in the finance industry.
Michael West Suncorp chief John Mulcahy's pay packet swelled even as his firm's share price halved. Other executives are dodging a pay cut too.
Jessica Irvine Economics Correspondent THE Treasurer, Wayne Swan, has urged shareholders to target overpaid executives and signalled greater regulation of unscrupulous mortgage brokers.
Australian banks are holding record deposits at the central bank, as financial institutions hoard cash worldwide.
Jessica Irvine Economics Correspondent GLOBAL economic uncertainty has forced the Federal Government into a $4 billion rescue of Australia's struggling non-bank lenders.
Michael West Amid investors' glee over short sellers in B&B who are being savaged in an almighty 250% "short squeeze'', the ASX has some homework to do.
Chris Zappone Administrators step in at Lehman's Australian unit just three days after it was sold to Nomura.
Eric Johnston the chief executive of ANZ Bank said the health of the world's banking system hinges on the US Congress approving the $US700 billion bail-out of Wall Street.
Chris Zappone Global financial turmoil having muted impact on Australian bank profits and homeowners' ability to repay their loans, the RBA says.
The Reserve Bank will offer to take short-term deposits from banks and financial institutions, in a move aimed at mopping up some of the excess overnight funds that banks are holding.
Eric Johnston ASX chief says opening up the market operator to domestic competition is not in the national interest.
Australia can handle the slowdown in world growth, the IMF said, praising the RBA's decision to cut rates.
Chris Zappone Australia's economy looks well placed to weather a global slowdown as it has increasingly decoupled from the US economy.
Malcolm Maiden From the moment ASIC decided on Sunday to widen its temporary ban on short selling a period of uncertainty was unavoidable.
Vanessa O'Shaughnessy and Ruth Williams The Government has moved to allay confusion surrounding short-selling with the release of planned disclosure rules, as regulators continued to tweak with the temporary ban.
New laws will require future covered short sale transactions on financial markets to be disclosed.
Michael West Banning short selling means less liquidity therefore more volatility in share prices. It is reckless policy-on-the-run.
Ian Verrender Australia's corporate regulator, Tony D'Aloisio, has outdone himself this time.
INVESTMENT Vanessa O'Shaughnessy CONTRACTS-for-difference markets have been thrown into confusion by the Australian market regulator's decision to ban short selling.
BRITAIN is to draw up legislation to bolster the role of financial regulators and make it easier to intervene in a crisis to help stem global turmoil, the Chancellor of the Exchequer, Alistair Darling, said last night.
The stock exchange was thrown into confusion this morning after an extraordinary last minute decision by the regulator to ban covered short selling rattled fund managers.
Eric Johnston The regulator has banned short selling for at least a month as a circuit breaker to restore investor confidence.
AUSTRALIA'S banks have exposures of about $800 million to the failed American insurance giant AIG, according to informed sources.
Jacob Saulwick and Colin Kruger Regulators rushed through major changes to the local sharemarket, making it harder for hedge funds to profit from falling share prices.
Jamie Freed A NEW YORK hedge fund manager with large investments in Australian companies has been singled out as "the Midas of Misery" after making massive profits through short selling.
Jacob Saulwick, Colin Kruger and Eric Johnston Macquarie shares made a stunning comeback today, but questions over the viability of the bank's model remain.
Australian banks are less willing to lend to each other than at any time since Bear Stearns collapsed six months ago.
Scott Rochfort THE Australian Securities Exchange has been urged by a leading corporate governance advisory firm to mandate the listed satellites of companies such as Macquarie, Babcock & Brown and Challenger to disclose the "full text" of their management agreements with their parents.
Elizabeth Knight ASIC raised eyebrows by announcing it would look into false rumours and manipulation relating to Macquarie Bank.
Marc Moncrief and Peter Martin Six of the world's central banks take unprecedented joint emergency action to prop up global financial markets, as deepening crisis of confidence threatens to plunge world into recession.
Phillip Coorey Chief Political Correspondent KEVIN RUDD moved to reassure the nation that its banks were in "sound shape" as he accused Malcolm Turnbull of endangering Australia's financial institutions with reckless language.
The Australian operations of HBOS may be sold after Lloyds TSB acquired the British mortgage lender.
Peter Martin Glenn Stevens declares Australia's financial system sound, even as US bails out world's biggest insurer, American International Group.
Japan and Australia have pumped a further $21 billion into money markets today to prevent banks from hoarding cash.
Jacob Saulwick AUSTRALIAN banks yesterday disclosed up to $400 million in exposure to Lehman Brothers as banks, derivative dealers, and even local councils continue to unravel their links to the biggest bankruptcy in history.
Michael West There are four key threats to the profits of Australia's banks: bad debt write-downs from imploding corporates, the well-documented rise in the cost of wholesale funding, losses from structured-finance holdings and the potential for mortgage defaults.
Elizabeth Knight Thanks to the tumultuous week in world financial markets there were some particularly interesting and potentially important bits of news that received scant coverage in the media. One such event was the resignation of Babcock & Brown's Phil Green from the board. What does thissay about the future of this company?
Eric Johnston Macquarie Group expected to come under more pressure after ratings agency Standard & Poor's revises down its outlook for the investment bank.
Jessica Irvine Economics Correspondent AUSTRALIA'S decade-and-a-half-long debt binge is coming to an end and a new era of austerity, in which consumers pay down their debts, live within their means and save for the future, is beginning, the Reserve Bank governor, Glenn Stevens, has predicted.
Turmoil roiling top-flight banks in the West could yet hit major Asian lenders and the region's regulators and central banks must coordinate actions to preserve stability, the Asian Development Bank warns.
Michael West What will happen to the leveraged former heroes of the boom, who borrowed too much and whose share prices have been slaughtered?
Chris Zappone Over 1 million Australian super holders can breathe a sigh of relief that AIG has been bailed out.
Chris Zappone While the future ownership of AIG's Australian division is uncertain, the US insurer's local chief says the business is healthy.
The Victorian government admits it is not completely immune from the fallout of the collapse of Lehman Brothers.
Jacob Saulwick Australia's big banks are all owed money by Lehman Brothers, some more than others.