Dow Jones Newswires: Australia’s consumer confidence rises for third straight week as gas prices fall

0
11

SYDNEY — Australian consumer confidence rose last week, its third consecutive weekly rise, as gasoline prices at the pump fell, taking pressure off stressed household budgets.

Consumer confidence gained 2.1% over the week, according to a survey by ANZ Bank and pollster Roy Morgan.

In line with falling fuel prices, weekly inflation expectations dropped 0.5 percentage points to 5.5%, its lowest level since late May. Its four-week moving average fell 0.1 percentage points to 5.8%, the survey showed.

Sentiment around current financial conditions rose by 0.5%, while future financial conditions increased 5.3%, the survey showed, Current economic conditions gained 1%, while future economic conditions rebounded 3.6%, almost reversing a 3.9% fall the week before.

The rise in confidence came despite news that headline inflation exceeded 6% in the year to June, said ANZ head of Australian economics David Plank.

The only confidence subindex that decreased dealt with the question of whether it is a good time to buy a major household item, which fell 1.5%. Ongoing weakness in the housing market and pressure on household budgets being likely reasons, Plank added.

Despite the gain in in the past three weeks, sentiment remains at a very low level and vulnerable to more policy tightening from the Reserve Bank of Australia, Mr. Plank said.

This article was originally published by Marketwatch.com. Read the original article here.

Previous articleU.S. Treasury raises third-quarter borrowing estimate to $444 billion
Next articleOracle layoffs have begun, according to reports

LEAVE A REPLY

Please enter your comment!
Please enter your name here