ANZ remarks:
- Consumer confidence lifted 6 points in April to 84.4, off its record low but still extremely pessimistic.
- The proportion of people who believe it is a good time to buy a major household item inched 3 points higher to a still-grim -23.
- Inflation expectations fell back to 5.6%.
ANZ add, in a bleak sort of outlook:
- On the face of it, the sorry state of consumer confidence is surprising in the context of a record-low unemployment rate.
- But apart from strong job security, households are under the pump. Omicron remains a threat. Very high inflation, particularly in necessities, means for the vast majority of people real incomes are going backwards. Those with debt are looking at sharply higher servicing costs. And those with savings are looking at deeper negative real returns on low-risk investments as inflation outpaces interest rate increases – not to mention wobbly global equities , losses on bond investments, and falling house prices. No one is immune.
New Zealand PM Ardern:
