John Key confident market crash won't mean recession


Prime Minister John Key says New Zealand's economy is not headed for a recession, despite a day on global markets that's being called "Black Monday".

But the reverberations are being felt everywhere, from the petrol pump to KiwiSaver balances.

It was all smiles for the opening bell on Wall Street, but it was soon Black Monday, with billions wiped off the value of the US' biggest companies.

Not a share market around the world was untouched by China's slowdown.

At close on Monday, China's Shanghai Composite Index was down 8.5 percent, and the Dow Jones dropped 4 percent.

Today, reacting to Black Monday, the NZX fell before recovering to almost break even for the day.

Watch the video for the full 3 News report.