By James Glynn
SYDNEY–Australian consumer confidence fell last week, snapping a short period of recovery supported by the Reserve Bank of Australia’s decision at the start of the month to keep interest rates on hold for the first time in nearly a year.
Consumer confidence decreased by 2.1 points over the week, according to a survey by the ANZ Bank and pollster Roy Morgan.
The confidence reading was the seventh-weakest result since the outbreak of Covid-19 in March 2020, said ANZ senior economist Adelaide Timbrell.
The retreat in confidence is also somewhat surprising as it comes amid news of a recovery in house prices and data showing the unemployment rate is at its lowest levels in close to 50 years.
Confidence in the near-term future declined the most, with the survey showing a 5.5-point drop in future financial conditions and a 1.2-point drop in expectations of economic conditions over the next year.
The index for whether it is a good time to buy a major household item dropped to its lowest since April 2020.
The weekly ANZ-Roy Morgan Australian Consumer Confidence Rating is based on 1,487 interviews conducted online and over the telephone during the week to Sunday.
Write to James Glynn at James.Glynn@wsj.com
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