ANZ-Roy Morgan Consumer Confidence has remained above the 2024 weekly average earlier this week, just before the RBA held the cash rate at 4.35 per cent on Tuesday this week.
At a score of 86.5, the index has remained just above the mark of 85 for a third consecutive week – the first time this has happened since January 2023. Consumer confidence is now 8.7 points above the same week a year ago, and four points above the 2024 weekly average of 82.5.
ANZ economist Madeline Dunk said the index continues to slowly trend upwards.
“The series has risen 7.5pts since early July, with the biggest gains in household confidence in current financial conditions and the short-term economic outlook,” Dunk said. “Both these measures have lifted 10.3pts since early July.
“Inflation expectations continue to ease. While the weekly figure was stable last week following the Q3 inflation data, the four-week moving average fell to 4.6 per cent. This is the lowest reading since September 2021.”
A look across the index showed small movements largely cancelling each other out this week.
Now 23 per cent of Australians (down 1ppt) say their families are ‘better off’ financially than this time last year compared to 47 per cent (unchanged) that say their families are ‘worse off’.
Over a third of respondents (35 per cent - up 1ppt) expect their family to be ‘better off’ financially this time next year while only 30 per cent (down 1ppt) expect to be ‘worse off’.
One-in-ten Australians (10 per cent - unchanged) expect ‘good times’ for the Australian economy over the next twelve months compared to 28 per cent (down 1ppt) that expect ‘bad times’.
Net sentiment regarding the Australian economy in the longer term is virtually unchanged this week with 11 per cent (unchanged) of Australians expecting ‘good times’ for the economy over the next five years compared to 17 per cent (down 1ppt) expecting ‘bad times’.
Buying intentions were also virtually unchanged with almost 22 per cent of Australians (down 1ppt) saying now is a ‘good time to buy’ major household items, compared to a plurality of 46 per cent (up 1ppt) that say now is a ‘bad time to buy’ major household items.