The four-week moving average for ‘inflation expectations’ fell 0.3ppt to 3.4%. The weekly reading fell to 3.2% from 3.6%.
ANZ Head of Australian Economics, David Plank, commented:
"The strength in confidence last week was encouraging. Overall sentiment is now around the levels seen during the GFC, while a number of the sub-indices have returned to levels that, while still low, are within the previous historical experience. We think the gain over the past week is predominantly attributable to the further easing of COVID-19 restrictions and optimism surrounding the daily new cases figure. There is a long way to go before sentiment gets to levels where people can be said to be optimistic, however. The weakness in inflation expectations continues and could be a lasting feature of the pandemic."
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