
The Westpac McDermott Miller Consumer Confidence index edged down 0.3 ppts in September to a level of 90.9, effectively unchanged from the June quarter and still a fair way below historic averages.
- With the economy hitting a soft patch mid-year and cost of living pressures on the rise, economic confidence in New Zealand has remained soggy.
- The Westpac McDermott Miller Consumer Confidence index edged down 0.3 ppts in September to a level of 90.9 – effectively unchanged from the June quarter and still a fair way below historic averages. (Note: A level below 100 indicates that there are more households who are pessimistic about the outlook than those who are optimistic).
- Notably, confidence has remained subdued despite the RBNZ’s recent OCR cut and indications that there will be some further reduction later this year.
- That lingering softness in consumer confidence in the face of falling interest costs highlights that factors such as softness in the jobs market, increases in living costs and softness in house prices remain big concerns for many households. Those concerns are also weighing on spending appetites.
