New Zealand: Consumer confidence improves in November
Latest reading: Consumer confidence rose to 98.4 in November, following October’s 92.4. However, the index remained below the 100-threshold, indicating pessimism among consumers.
In November, households grew more optimistic about the general economic situation in the next 12 months (-9.3 vs -22.3 in October), the economic outlook 5 years ahead (+8.8 vs +4.2 in October), their willingness to make large purchases (-9.4 vs -14.0 in October) and their personal financial situation over the next 12 months (+20.8 vs +9.0 in October).
Panelist insight: On the data, ANZ analysts said:
“It’s good to see a decent lift in consumer confidence this month, though it is yet to break out of recent ranges. Although it’s early days in terms of the economic recovery, this is not the only indicator suggesting that things are looking up for consumers. Consumer arrears have been declining, employment has returned to modest growth, and retailers are reporting improved activity. Our card spending data shows a return to growth across a broad range of discretionary categories, though overall spending levels are still very subdued compared to the COVID-era boom.”