Consumer Confidence Continues To Fall As COVID Cases Resurge
The ANZ-Roy Morgan Consumer Confidence index is now at its lowest point in nearly two months, at 92.1 – some 25.5pts lower than this time last year.
“Confidence fell a further 1% last week, taking it to an eight-week low. Although there was a marginal improvement in how people felt about their financial conditions, confidence in economic conditions continued to deteriorate. This was not surprising, with new COVID-19 case numbers continuing to escalate in Melbourne,” said Catherine Birch, Senior Economist at ANZ.
“While the return to lockdown has so far been localised to 12 postcodes, the confidence effect is more pervasive. The uncertainty also appears to be discouraging households from committing to large purchases, with ‘time to buy a major household item’ falling heavily for a second week.”
As of last week, 35% of Australians said it was a good time to buy a major household item, compared to 36% who say it is a bad time to buy.