Consumer Confidence Falls Nationwide in Australia, New Zealand After Cyclone, Economic Tensions

Consumer confidence in Australia and New Zealand has notably declined, reflecting economic uncertainty and rising living costs. In Australia, the ANZ-Roy Morgan Consumer Confidence Index fell 3.1 points to 83.8, its lowest since October 2024, primarily driven by the effects of ex-Tropical Cyclone Alfred and concerns about the economic outlook. Queensland reported the lowest confidence levels, with a significant percentage of Australians feeling worse off financially compared to the previous year. In New Zealand, the Westpac McDermott Miller Consumer Confidence Index decreased to 89.2, influenced by escalating trade tensions and ongoing cost-of-living pressures, marking the lowest level since Q2 2024. Both countries are experiencing a shift in consumer sentiment, with households expressing increased pessimism about their financial futures and the economic landscape. Experts suggest these trends may persist for several months as economic challenges continue to weigh on consumer confidence.