Confidence picks up but consumers still under pressure

Confidence picks up but consumers still under pressure
Australian consumer confidence has picked up with ANZ Roy Morgan Consumer Confidence Index rising 0.4 per cent to 113.8 in the week ending 8 October.

Despite this, consumers are still feeling under pressure with sentiment towards economic conditions falling slightly.

At the same time, views towards current as well as future financial conditions improved.

The indices for both increased by 0.7 per cent and 0.3 per cent respectively.

ANZ senior economist Felicity Emmett said confidence was now running close to its long run trend but consumers are clearly under pressure as evidenced by last week’s disappointing figures on retail trade.

“We continue to see confidence being weighed down by the combination of high household debt and low wage growth. Ongoing improvement in the labour market and a corresponding increase in wage growth remain the keys to a material uptrend in confidence,” Ms Emmett said.

 



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