Consumer confidence has clawed back, rising by 2.3 percentage points last week after an 8.7 cumulative fall over the previous fortnight.

According to the latest ANZ-Roy Morgan survey, consumer confidence now sits at 80.4, after hitting historical lows.

However, we aren’t out of the woods, yet. Consumer Confidence is still 21.4pts below the same week a year ago, and 3.9pts below the 2023 weekly average of 84.3.

It remains lower than before the February RBA cash rate hike, as ANZ Senior Economist Adelaide Timbrell notes.

“At 80.4, the Consumer Confidence Index was among the worst ten results in the 150 weeks since the initial COVID outbreak in Australia,” she explains.

“The confidence among those paying off their mortgage is still lower than the other groups, at 73.8.”

Household inflation expectations softened to 5.1 per cent, “potentially a lagged response to the rise in interest rates,” Timbrell notes.