NZ consumer sentiment lowest since mid-2012 – ANZ

FXStreet (Bali) – Cameron Bagrie, Chief Economist at ANZ, notes that New Zealand consumer sentiment has fallen to the lowest level since mid-2012.

Key Quotes

“Consumer confidence has been tackled. The ANZ-Roy Morgan Consumer Confidence Index fell a further 4 points in August from 113.9 to 109.8, the lowest level since mid-2012, and below its historical average.”

“Sentiment has fallen 19 points this year. The fall is marked, though the level is not yet weak.”

“It’s not weak in level terms – the economy still has points on the board – but it’s certainly heading in a weaker direction.”

“Consumers are growing more pessimistic about the economy’s prospects over the year ahead. Conversely, they still feel better off financially here and now, which is influential for immediate spending trends.”

“While confidence doesn’t drive growth (incomes do), a lack of confidence can lead to an economy dropping the ball.”

“House price expectations eased in Auckland but rose in adjacent regions.”

Cameron Bagrie, Chief Economist at ANZ, notes that New Zealand consumer sentiment has fallen to the lowest level since mid-2012.

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