Australia: Consumer confidence picks up in July
July 11, 2012
In July, the index of consumer sentiment published by Westpac and the Melbourne Institute rose to 99.1 points. The figure was up from the 95.6 points recorded in June, marking a third consecutive increase and the highest reading in five months. In spite of the improvement, the index remains below the 100-point threshold that separates optimistic from pessimistic territory. The July reading reflected the positive impact on households sentiment of the recent cuts to the policy rate by the Central Bank. All components of the index improved compared to the previous month. In particular, expectations on general economic conditions in the short-term (12 months) marked the strongest increase (+5.8% month-on-month), which was also reflected in an improvement of the sub-index related to the intentions to purchase major household items.
Author: Armando Ciccarelli, Head of Data Solutions