Australia: Consumer sentiment dives to over four-year low in October
The Westpac-Melbourne Institute consumer sentiment index dropped to 92.8 in October, from 98.2 in September, marking the worst result since July 2015. As a result, sentiment dropped well below the 100-mark indicating that there were considerably more pessimists than optimists among Australian consumers.
October’s deterioration was broad-based. Consumers’ outlook over the general economic situation in the next five years deteriorated considerably in the surveyed month, amid lackluster activity growth and sustained trade-war tensions. Similarly, consumers’ expectations over the general economic situation in the year ahead worsened in October. Lastly, consumers’ confidence regarding their current and future financial situation soured in October, against the backdrop of deteriorating unemployment expectations and declining willingness to buy a major household item.