New Zealand: Consumer optimism softens in July
July 30, 2021
The ANZ-Roy Morgan consumer confidence indicator edged down to 113.1 in July from June’s 114.1. That said, the index remained above the 100-threshold that separates optimism from pessimism among consumers.
July’s result was largely driven by consumers’ deteriorating confidence with regards to the one-year general economic outlook. Moreover, households’ assessments of their financial situation compared to one year ago turned less optimistic. On a brighter note, consumers were more inclined to buy big-ticket items compared to the previous month, while their expectations with regards to the five-year general economic outlook turned rosier. Meanwhile, perceptions regarding inflation softened, although a higher share of respondents compared to the prior month expected housing prices to climb in the next two years.