Australia: Consumer sentiment moderates in May
The Westpac-Melbourne Institute consumer sentiment index dropped to 113.1 in May from 118.8 in April, which had marked the strongest reading in over 10 years. However, sentiment remained comfortably above the 100-mark, indicating that there were more optimists than pessimists among Australian consumers.
May’s deterioration came on the back of weaker expectations of family finances in the next 12 months and assessments of family finances compared to one year ago as well as less optimistic expectations over the economy in the next 12 months and five years. On the other hand, unemployment expectations improved considerably.
FocusEconomics panelists are still assessing the latest developments.