Economic Buzz: Australia Westpac Consumer Sentiment Falls 0.9% In October

11 Oct 2022 , 11:04 AM

Australias consumer confidence declined to near historic lows in October amid a surge in the cost of living, rising interest rates and concerns about the near-term economic outlook, survey results from Westpac showed on Tuesday. The Westpac Melbourne Institute Index of Consumer Sentiment fell 0.9 percent to 83.7 in October from 84.4 in September. The survey suggested that the latest fall could have been significantly worse if the Reserve Bank had chosen to raise the cash rate by 50 basis points instead of the 25 basis points it delivered at its October meeting. Within overall consumer confidence index, the family finances vs a year ago sub-index gained 1.1 percent on month, but to a still very weak level of 69.3, and the family finances, next 12 months sub-index was down 0.4 percent. Meanwhile, the time to buy a major household item sub-index climbed 1.6 percent. The economic outlook, next 12 months sub-index recorded the biggest decline for the month, down 4.2 percent, and the economic outlook, next five years sub-index dropped 2.1 percent. Further, the time to buy a dwelling index declined 6.4 percent to 75.3. This index has been in the 75-80 range since March this year.Powered by Commodity Insights