02/04/2026
US President Donald Trump's warning to Iran, threatening to send it “back to the Stone Ages”, has had a negative impact on equity markets. Should he carry out his threat, Australia risks slipping into recession. Oxford Economics Australia's analysis of a prolonged war scenario forecasts a 0.3 per cent contraction in the nation's gross domestic product in the June quarter, followed by a further 0.8 per cent decline in the September quarter. This would represent the country's sharpest economic downturn since the early 1990s, excluding the COVID-19 downturn. Source: 7News
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