ANZ-Roy Morgan Consumer Confidence drops 3.7pts to 87 as RBA set to increase interest rates again
ANZ-Roy Morgan Consumer Confidence dropped 3.7pts to 87 this week to its lowest since mid-August 2020. Consumer Confidence is now a significant 23.7pts below the same week a year ago, June 5/6, 2021 (110.7) and is now 8.8pts below the 2022 weekly average of 95.8.
On a State-based level Consumer Confidence was down in Victoria, New South Wales, Queensland and Western Australia, but up in South Australia. Looking at the indicators confidence about the Australian economy deteriorated in regards to both the next year and next five years.
Current financial conditions
- Now 22% of Australians (up 1ppt) say their families are ‘better off’ financially than this time last year compared to 42% (up 2ppts), that say their families are ‘worse off’ financially (the highest figure for this indicators for over two years since March 2020).
Future financial conditions
- Looking forward, nearly a third of Australians, 32% (unchanged) expect their family to be ‘better off’ financially this time next year compared to 32% (up 4ppts), that expect to be ‘worse off’ financially (the highest figure for this indicator for over two years since March 2020).
Current economic conditions
- Now just 8% (down 2ppts) of Australians expect ‘good times’ for the Australian economy over the next twelve months (the lowest figure for this indicator for nearly two years since October 2020) compared to 34% (up 6ppts), that expect ‘bad times’.
Future economic conditions
- In the longer term, an unchanged 14% of Australians are expecting ‘good times’ for the economy over the next five years compared to 19% (up 2ppts) expecting ‘bad times’.
Time to buy a major household item
- When it comes to buying intentions now 28% (down 1ppt) of Australians, saying now is a ‘good time to buy’ major household items while 42% (up 3ppts) say now is a ‘bad time to buy’.
ANZ Head of Australian Economics, David Plank, commented:
Consumer confidence dropped 4.1% last week, most likely on cost-of-living concerns as inflation expectations rose to 5.7%, its highest weekly reading since early April. Consumers are especially pessimistic about the current economic outlook and their current financial circumstances. Confidence dropped a similar amount for both consumers paying off their home loan as well as for those who own their home: 6.2% and 6.5%, respectively. Among the major states, confidence dropped sharply in NSW and Queensland by 7.5% and 7.2%, respectively. Confidence dropped 1.0% in Victoria and 0.5% in WA but increased 7.9% in SA.”
Related Research Reports
The latest Roy Morgan Consumer Confidence Monthly Report is available on the Roy Morgan Online Store. It provides demographic breakdowns for Age, Sex, State, Region (Capital Cities/ Country), Generations, Lifecycle, Socio-Economic Scale, Work Status, Occupation, Home Ownership, Voting Intention, Roy Morgan Value Segments and more
Consumer Confidence – Monthly Detailed Report in Australia.
Business Confidence – Monthly Detailed Report in Australia.
Consumer Banking Satisfaction - Monthly Report in Australia.
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Margin of Error
The margin of error to be allowed for in any estimate depends mainly on the number of interviews on which it is based. Margin of error gives indications of the likely range within which estimates would be 95% likely to fall, expressed as the number of percentage points above or below the actual estimate. Allowance for design effects (such as stratification and weighting) should be made as appropriate.
|Sample Size||Percentage Estimate|
|40% – 60%||25% or 75%||10% or 90%||5% or 95%|