ANZ-Roy Morgan Consumer Confidence increased 1.4% as Melbourne’s lockdown restrictions eased further, now 14.9% higher than the same week a year ago.
This week’s small increase was driven by positive financial signs with more Australians saying they are ‘better off’ financially than this time a year ago and more are expecting ‘good times’ for the economy over the next 12 months.
When is comes to buying a major household item a decreasing number – 42% down 3%, said now is a ‘good time to buy’ major household items while 24%, down 1%, reckon it is a ‘bad time to buy’.
ANZ head of Australian Economics, David Plank said the strong labour market recovery provided a boost to consumer confidence too with the unemployment rate falling to 5.1% in May, reaching its lowest level since February 2020, before the pandemic started.
“This strength in the employment data overshadowed news about the Covid cluster in Sydney,” Plank said.
“Confidence in the city (Sydney) rose 5.2%, while in the rest of New South Wales it gained 2.8%. We know from recent experience, however, that sentiment will likely be impacted negatively if the outbreak worsens, and greater restrictions are imposed.”