Australia: Consumer confidence likely ending the slide - ANZ

Analysts at ANZ note that after three straight weeks of falls, Australian consumer confidence rose 1.6% in the week ending  26 March while the four week average continued to fall, however, and is now back to early 2016 levels and close to its long run average.

Key Quotes

“The pickup in confidence was broadly based with four out five sub-indices posting gains. Households’ views of the 12-month economic outlook rose 2.7% last week, after a 3.3% fall the previous week. Consumers were also more confident regarding future economic conditions, with the index rising a solid 2.8%.”

“Households’ views towards their current finances fell slightly (-0.9%) last week, while the future finances index rose a solid 3.0%.”

“The ‘good time to buy a household item’ sub-index rose 0.5%, building on the 1.7% gain over the previous two weeks. This sub index is currently close to its long term trend.”

“Inflation expectations ticked up partly reversing the previous week’s sharp fall. The four week average is now at 4.4%, well above the low of 3.8% seen in October last year.”