Consumer confidence was practically unchanged last week, with a decrease of just 0.1 per cent. Among the major states, confidence increased in NSW, was unchanged in Victoria, and it dropped in Queensland, SA, and WA.
• ‘Weekly inflation expectations’ increased 0.2ppt to 5.5 per cent, while its fourweek moving average was unchanged at 5.3 per cent.
• Three out of the five confidence subindices increased. ‘Current financial conditions’ dropped 4.4 per cent, its third consecutive weekly decline. ‘Future financial conditions’ fell 5.5 per cent after a 6.1 per cent increase the week before.
• ‘Current economic conditions’ gained 1.5 per cent, while future economic conditions were up 3.7 per cent.
• ‘Time to buy a major household item’ rose 5.4 per cent, after a 4.5 per cent increase the previous week.
“Consumer confidence dropped slightly by 0.1 per cent last week with no significant reaction to the previous weekend’s federal election. This is the fifth election since the survey went weekly in 2008. Of the four elections prior to this one, there has been little immediate reaction in consumer confidence, with no large swings in either direction.” ANZ Head of Australian Economics, David Plank said.
“Confidence going into the 2022 election was, however, well below previous pre-election levels. And it remains at a historically low level. Inflation expectations rose to 5.5%, its highest level since early April, and it likely reflects the rise in petrol prices.”
