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

 


‘Chipper’ kiwis push up consumer confidence in April

‘Chipper’ kiwis push up consumer confidence in April

April 17 (BusinessDesk) - New Zealand consumer confidence rose in April as kiwis became more confidence about their own financial position, giving them greater enthusiasm for buying major household items.

The ANZ-Roy Morgan consumer confidence index rose to 134 this month, from 132 in March. The current conditions rose to 130.3 from 125.7 and the future conditions index eased to 135.8 from 136.2.

“The economy is expanding rapidly, more jobs are being created, the housing market is still buoyant, the high New Zealand dollar is keeping the price of imported goods and those big-ticket items suppressed. Prospects for wages to move up are improving by the day,” said ANZ Bank New Zealand chief economist Cameron Bagrie. “That’s a chipper combination.”

The Reserve Bank noted the “considerable momentum” in the economy when it lifted the official cash rate a quarter point to 2.75 percent and is expected to hike the OCR to 3 percent next week to head off increasing inflationary pressures. The ANZ-Roy Morgan composite index, which combines consumer and business confidence, implies annual economic growth of almost 6 percent.

“We’re positive but not that bullish,” Bagrie said. “We’re picking solid as opposed to bumper spending trends.” While consumer sentiment is elevated, household balance sheets remain heavily indebted and the savings rate remains poor, he said. At the same time, the central bank is raising borrowing costs.

The April survey of 958 people showed a net 13 percent felt they and their families were better off than a year ago, an improvement from 8 percent in last month’s survey. Looking out a year, a net 40 percent felt they would be better off, up from 36 percent last month.

Those deeming it a good time to buy a major household item increased to a net 47 percent from 44 percent and those thinking house prices would rise in the next two years rose to 72 percent from 71 percent, while the size of the expected increase lifted to 3.9 percent from 3.8 percent.

Perceptions of the broader economy eased slightly. A net 33 percent saw better economic conditions in the next 12 months, down from 34 percent a month ago, and those seeing good times for the next five years slipped to a net 34 percent from 38 percent.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Keep Digging: Seabed Ironsands Miner TransTasman Tries Again

The first company to attempt to gain a resource consent to mine ironsands from the ocean floor in New Zealand's Exclusive Economic Zone has lodged a new application containing fresh scientific and other evidence it hopes will persuade regulators after their initial application was turned down in 2014. More>>

Wool Pulled: Duvets Sold As ‘Premium Alpaca’ Mostly Sheep’s Wool

Rotorua business Budge Collection Limited (Budge) and sole director, Sun Dong Kim, were convicted and fined a total of $71,250 in Auckland District Court after each pleading guilty to four charges of misrepresenting how much alpaca fibre was in their duvets. More>>

Reserve Bank: Labour Calls For Monetary Policy To Expand Goals

Labour's comments follow a speech today by RBNZ governor Graeme Wheeler in which Wheeler sought to answer critics who variously say he should stop lowering interest rates, lower them faster, or that inflation-targeting should no longer be the primary goal of the central bank's activities. More>>

ALSO:

BSA Extension And Sunday Morning Ads: Digital Convergence Bill Captures Online Content

Broadcasting Minister Amy Adams has today announced the Government’s plans to update the Broadcasting Act to better reflect today’s converged market... The Government considered four areas as part of its review into content regulation: classification requirements, advertising restrictions, election programming and contestable funding. More>>

ALSO:

March 2017: Commerce Commission Delays Decision On Fairfax-NZME

The Commerce Commission has delayed its decision on the proposed merger between NZME and Fairfax Media's New Zealand assets, saying the deal is complex and it needs more time to assess the impact on both news content and the advertising market. More>>

ALSO:

Plan Plan: Permanent Independent Hearings Panel Proposed For Planning

The Productivity Commission recommends creating a permanent independent hearings panel like the one that cut through local politics to settle Auckland’s Unitary Plan, for the whole country. More>>

ALSO:

Statistics: NZ Jobless Rate Falls To 5.1% Under New Methodology

New Zealand's unemployment rate fell more than expected in the second quarter as Statistics New Zealand adopted a new way of measuring the labour market to bring the country in line with international practices, and while a growing economy continued to support jobs growth. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news