Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


NZ consumer confidence slips from 7-year high

NZ consumer confidence slips from 7-year high as inflation expectations firm

Feb. 20 (BusinessDesk) – New Zealand consumer confidence fell from its highest level in seven years this month, while remaining elevated, amid a pickup in inflation expectations and the prospect of interest rate increases.

The ANZ Roy Morgan consumer confidence index fell to 133 from 135.8 in January. Both the current conditions index and future conditions index slipped back 3 points, to 127 and 137.1 respectively.

The decline wasn’t enough to dent ANZ New Zealand’s assessment that elevated consumer confidence points to the potential for strong economic growth, as its seasonally adjusted measure showed a slight improvement to a seven-year high.

“It’s now well flagged that interest rates are set to move up – a typical bug-bear for sentiment,” said ANZ chief economist Cameron Bagrie.

“However, that dynamic looks to be being usurped by the combination of rising asset prices, firming employment prospects, more people participating in the labour force, a falling unemployment rate and reasonable income growth.”

The survey shows prices in general are expected to rise an annual 3.5 percent in the next two years, up from 3.3 percent in last month’s survey, while house prices are seen rising 4 percent, down from 4.2 percent in January.

A net 47 percent of those surveyed say it is a good time to buy a major household item, down from 50 percent last month.

Those who felt better off financially than a year ago eased to a net 7 percent from 11 percent, while those expected to be better off in a year’s time fell to 36 percent from 41 percent.

Looking at New Zealand as a whole, a net 38 percent expected the country to be better off economically in the next 12 months, down from 39 percent last month. A net 37 percent thought New Zealand would enjoy good times over the next five years, down from 40 percent in January.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

OceanaGold: Man Killed In Waihi Mine Accident

A 29-year-old man had died following a work place accident at OceanaGold mine, Waihi last night. The man was killed after the front end loader he was in rolled down a slope. The accident happened at approximately 6.30pm on Thursday night. More>>

ALSO:

Constructing Consent: Annual Housing Consents Highest In Over A Decade

More than 29,000 new homes gained building consent in the year to June 2016, up 16 percent from the previous June year, Statistics New Zealand said today. More>>

ALSO:

War Against Weevil For Future Peas: “No Peas, No Weevil” Ban Now In Place In Wairarapa

The Ministry for Primary Industries (MPI) has today placed a ban on growing peas within a specified area and placed controls on moving pea material (seed and untreated pea straw) within, in and out of this area for the next 2 years. More>>

ALSO:

Wood Producers: Crisis In New Zealand Log Supply

New Zealand wood processing leaders held a hui with senior government officials and political leaders in Whangarei yesterday to assess the acute log supply shortage to local mills in Northland. More>>

Consents And Taxes: Trustpower 'Very Disappointed' With Judgement

Trustpower is "very disappointed" with a Supreme Court ruling dismissing its bid to claim tax deductions on $17.7 million of project costs in a case closely watched by large-scale infrastructure developers. More>>

ALSO:

Fruitful Endeavours: Kiwifruit Exports Reach Record Levels

In June 2016, kiwifruit exports rose $105 million (47 percent) from June 2015 to reach $331 million, Statistics New Zealand said today. Overall, goods exports rose $109 million (2.6 percent) in June 2016 (to $4.3 billion). More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news