Research Team at ANZ notes that the NZ’s consumer confidence fell for the third straight week (down 1.0%), bringing the index to its lowest value since April 2016.
“The weakness in confidence was driven by households’ concerns about both current and future economic conditions.”
“Households’ views on the 12-month economic outlook fell 3.3% last week, after a sharp 5.2% fall the previous week. Consumers were also less confident regarding future economic conditions, with the sub index falling a solid 3.5% last week.”
“Households’ views towards their current finances improved 1.0%, while views towards future finances were broadly flat (down 0.1%). The future finances sub index is now at its lowest level since October 2016, although both sub-indices remain above their long term averages.”
“The ‘good time to buy a household item’ sub-index rose 0.4% last week following a 1.3% rise the previous week. This sub index is currently close to its long term trend.”
“The four week average for inflation expectations has stabilised around 4.5%, though this week’s reading has dropped to 4.1%.”