The ANZ-Roy Morgan Consumer Confidence Index has remained virtually unchanged at 81.7, marking 59 consecutive weeks below the 85-point threshold, reflecting prolonged consumer cautiousness.
Consumer confidence varied across the states, with increases in New South Wales and Queensland but decreases in Victoria, Western Australia, and South Australia.
Current financial conditions revealed that only 18% (down 1ppt) of Australians feel financially better off than last year, the lowest so far this year, with 52% (down 1ppt) feeling worse off.
Australians are split on their financial outlook for the next year, with 32% (down 1ppt) anticipating they'll be financially better off, while an equal percentage expects to be worse off (up 2ppt).
Australians are divided on their financial outlook for the next year, and short-term economic confidence is low, with only 10% (down 1ppt) optimistic about the economy over the next 12 months compared to 31% (unchanged) expecting bad times.
Medium-term economic confidence saw a slight improvement with 12% (up 1ppt) of Australians anticipating good times for the economy over the next five years, versus the 20% (unchanged) expecting bad times.
Intentions to buy major household items remain stagnant, with 20% seeing it as a good time to buy and 49% viewing it as a bad time.
Madeline Dunk (pictured above), ANZ economist, provided insights into the latest findings.
“ANZ-Roy Morgan Australian Consumer Confidence was broadly unchanged last week,” Dunk said. “Meanwhile, inflation expectations fell to their lowest level since February 2022. This is likely to be welcomed by the RBA, given the board’s focus on inflation expectations remaining anchored.”
Dunk also commented on specific segments.
“Confidence amongst households paying off a mortgage declined 6.4pts to its lowest level this year,” Dunk said. “Confidence amongst renters remains weak... The situation is a little better for those who own their home outright, with confidence rising 5.5pts.”
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