Simon Hartley

A turnaround in Wall Street's fortunes spread around the globe yesterday, applying a brake on three days of panic selling, but the prospect of further market volatility remains.

Investors worldwide will be closely scrutinising the opening of the Australian and New Zealand sharemarkets this morning in the wake of the United States' credit downgrade and the global routing of bourses last week.

Re-energising the traditional relationship between Dunedin and the United Kingdom and fostering closer business ties is behind the first of several events being hosted by the British High Commission.

Otago businesses are punching above their weight in preparation for making the most of opportunities during the Rugby World Cup, already representing 16% of a national online "business club".

Global spot gold prices have soared as investors around the world take stock of billions of dollars wiped off company share values during the past two days' trading.

Dunedin's commercial property market has made "modest gains" during the past year, and year-ahead confidence is up almost 20% - with little assistance from relocating Christchurch businesses.

Earthquakes, rising fuel costs and declining demand for international flights are all expected to contribute to an estimated 17%-36% decline in after-tax profit for the national carrier, Air New Zealand.

Dunedin businessman Paul Nicholson has until 5pm today to pay the $10.8 million balance of an Otago subdivision purchase - or face losing investors' $1.2 million deposit.

Recapitalisation and fund raisings are under way for three separate listed Dunedin companies which are going to the market, or shareholders, seeking a total of at least $30 million.

Record gold prices have offset spiralling production costs for East Otago-based Oceana Gold, which has downgraded its production forecast for this calendar year by 5000-10,000 ounces.

Nine multimillionaires with extensive Otago interests are identified in this year's National Business Review rich list, with a total overall wealth that tops $1 billion.

Fonterra, for the first time, is going to raise $US42 million ($NZ56 million) in renminbi-denominated bonds in China, to underpin growth in that country.

A deal between warring US political parties is expected to be hammered out by tomorrow, with no chance the United States will not go into a globally-dreaded debt default situation, according to research by Craigs Investment Partners.

Predictably, the Reserve Bank held the interest-driving official cash rate at 2.5% yesterday, but governor Alan Bollard has signalled he wants to add 50 basis points to the rate, subject to an easing in global financial risks which are grinding down markets around the world.

Foundation work has started in the construction of a $10 million Countdown supermarket in Andersons Bay Rd, South Dunedin, which is expected to open in March next year.