Australia: Consumer confidence returns to optimistic territory in February
February 11, 2015
The Westpac-Melbourne Institute Survey of Consumer Sentiment increased from 93.2 points in January to 100.7 points in February. As a result, consumer sentiment returned to optimistic territory after having hovered below the 100-point threshold for the past twelve months.
February’s significant improvement reflected increases in all of the components that comprise the index. Consumers were particularly more optimistic regarding expectations for purchasing household items, reflecting a positive reaction to the Central Bank’s decision to cut interest rates on 3 February. In addition, consumers were much more optimistic regarding the economic outlook for the next twelve months as well as for the next five years.
Author: Cecilia Simkievich, Economist