AU Westpac Consumer Sentiment

The Westpac–Melbourne Institute Consumer Sentiment Index rose 4.1% to 83.9 in July from 80.6 in June. Despite the gain, sentiment remains deeply pessimistic. At 83.9, the latest Index read is still in the bottom 10% of results over the 50-year history of the survey. Some of the July improvement looks to be relief that ‘worst case’ scenarios – around energy prices, interest rates and jobs – are not playing out. However, family finances are clearly under intense pressure and the outlook is uncertain. Sentiment also remains hostage to ...

The Westpac–Melbourne Institute Consumer Sentiment Index declined 2.9% to 80.6 in June from 83 in May. Australian consumers remain deeply pessimistic. The sentiment shock that hit back in April eased off a touch in May but has intensified again in June. At 80.6, the latest monthly Index read is back amongst the weakest seen in the fifty-year history of the survey, pessimists outnumbering optimists by nearly 20%. The survey detail shows cost-of-living issues remain front and centre, the temporary halving in fuel excise tax providing ...

The Westpac–Melbourne Institute Consumer Sentiment Index rose 3.5% to 83 in May from 80.1 in April. Despite a small improvement, consumers remain deeply pessimistic. Some of last month’s shock from the spike in fuel prices has eased. The temporary halving in fuel excise tax has helped to reduce average pump prices by nearly 30¢/litre since April. However, this positive would have been largely offset by the RBA’s 25bp rate hike at the start of the month, the third interest rate rise in as many meetings. Meanwhile, the impact of the ...

The Westpac–Melbourne Institute Consumer Sentiment Index fell heavily in April, declining 12.5% to 80.1 from 91.6 in March. Australian consumers are being hit by another ‘cost of living’ shock. The spike in fuel prices following the US–Israel war on Iran and a further 25bp interest rate increase are again putting finances under intense pressure. A sharp deterioration in expectations suggests consumers are bracing for a return to the extended period of weakness seen during the 2022–24 inflation fight. The April sentiment drop is the ...

The Westpac-Melbourne Institute Consumer Sentiment Index edged 1.2% higher to 91.6 in March from 90.5 in February. While consumers remain firmly pessimistic, sentiment continues to show some resilience. The relatively muted negative response to the RBA’s 25bp rate hike in February has been followed by a slight improvement in March. However, daily responses point to a material weakening over the course of the survey week, likely reflecting growing concerns about the escalating conflict in the Middle East. Responses from those surveyed ...

The Westpac–Melbourne Institute Consumer Sentiment Index declined 2.6% to 90.5 in February from 92.9 in January. Previous surveys showed a significant weakening in sentiment as a lift in inflation stoked fears that the RBA was about to raise interest rates. Those fears were realised in February. The RBA’s 25bp hike – the first in over two years – has put renewed pressure on finances, dented attitudes towards major purchases and raised concerns about medium-term prospects for the economy. That said, the impact on sentiment overall has ...

The Westpac–Melbourne Institute Consumer Sentiment Index slipped 1.7% lower to 92.9 in January from 94.5 in December. Australian consumers entered the new year in a downbeat mood, sentiment moving further into pessimistic territory in January. While confidence is still well above the extreme lows recorded during the protracted ‘cost of living’ crisis in 2022– 2024, consumers are becoming more concerned about what 2026 may bring for family finances and the wider economy. The main catalyst continues to be a sharp turn in interest rate ...

The Westpac–Melbourne Institute Consumer Sentiment Index fell 9% to 94.5 in December from 103.8 in November. After a surprising bounce in November – which resulted in the first ‘net positive’ reading since reopening from the pandemic – confidence has fallen back to around the levels that prevailed just prior. The Index has jumped around in recent months, but it has finished the year broadly in ‘cautiously pessimistic’ territory. While this marks a clear improvement from the prolonged, deep pessimism that defined much of 2024, a ...