ANZ-Roy Morgan Consumer Confidence was up 1.2 points to 82.2 this week, following a drop of 2.2 points last week.
Despite the lift, the index has now spent a record 58 straight weeks below the mark of 85.
Consumer confidence is now 5.2 points above the same week a year ago, but 1 point below the 2024 weekly average of 83.2.
Now under a fifth of Australians, 19 per cent (unchanged) say their families are ‘better off’ financially than this time last year compared to a majority of 53 per cent (down 2ppts) that say their families are ‘worse off’.
Views on personal finances over the next year are in positive territory with 33 per cent of Australians (unchanged) expecting their family to be ‘better off’ financially this time next year while 30% (down 4ppts) expect to be ‘worse off’.
Just over one-in-ten Australians (11% - unchanged) expect ‘good times’ for the Australian economy over the next twelve months compared to 31 per cent (down 1ppt) that expect ‘bad times’.
Meanwhile, 11 per cent of Australians (down 1ppt) expect ‘good times’ for the economy over the next five years compared to 20 per cent (unchanged) expecting ‘bad times’.
“Confidence in future finances - which measure how many participants believe their own finances will be better in a year from now - was at its highest level since January 2023,” ANZ senior economist Adelaide Timbrell said.
“It also hit above its neutral 100 level, meaning more optimistic participants than pessimistic ones.”
“Inflation expectations have settled lower this year, signalling confidence in the battle against inflation. Economic confidence fell after the weak GDP result out last week (GDP was up 0.2% q/q or 1.5% y/y).
“We expect GDP to be soft for the first half of the year before tax cuts, other fiscal stimulus and falling inflation help household incomes and spending.”
Buying intentions were virtually unchanged this week with 20 per cent (down 1ppt) of Australians saying now is a ‘good time to buy’ major household items while 49 per cent (down 1ppt) say now is a ‘bad time to buy’.
Around the states, consumer confidence improved sharply in Western Australia, but was virtually unchanged in New South Wales, Victoria, Queensland and South Australia.