After a brief respite in mid-year, bad news began to re-emerge in July-August, so much so that we in Australia eased monetary policy on 5 September. Then the events of 11 September induced a new bout of gloom, and there was a real fear that the world economy would weaken further in 2002 and so experience a prolonged and deep recession.
As for the European economy, although continued attention needs to be paid to negotiations on the United Kingdom's exit from the European Union (EU) and the European debt problem, including the financial sector, the uncertainties surrounding these factors have abated.