Top Scoops

Book Reviews | Gordon Campbell | Scoop News | Wellington Scoop | Community Scoop | Search


N.Z. consumer confidence slips

N.Z. consumer confidence slips, short-term pain anticipated

Dec. 22 - New Zealand consumer confidence slipped this quarter, amid expectations that the short-term economic outlook has worsened amid a global slump.

Consumer confidence fell to 101.3 in the December quarter from 104.8 three months earlier, according to the Westpac McDermott Miller Consumer Confidence Index. A number above 100 indicates optimists outnumber pessimists. Confidence has revived from 81.7 in the June quarter.

“In the eyes of the consumer, not even lower fuel prices, the sharp fall in interest rates, or the new government can rescue the New Zealand economy from the wrath of the global downturn," said Donna Purdue, Westpac senior economist.

Government figures tomorrow are expected to show the economy shrank 0.5% in the third quarter extending the nation's first recession since 1998. Khoon Goh, senior markets economist at ANZ National Bank, predicts the slump will extend into next year, with a contraction of 1% over the 2009 calendar year.

A net 45% of consumers surveyed expect economic conditions to worsen over the next 12 months, a deterioration from the net 17% seeing poorer times ahead in September. The gloomy short-term outlook shows “clearly, the bad news from offshore is getting through to consumers,” Purdue said.

The decline in confidence in the latest period was felt most intently in dairy farming regions, such as Canterbury and Waikato, suggesting the prospect of reduced payments for milk will erode farm incomes in the next 12 months.

Long-term, consumers are upbeat about the economy, with a net 51.6% expecting the economy to be in better shape in five years, according to the survey.



© Scoop Media

Top Scoops Headlines


Binoy Kampmark: Funeral Rites For COVID Zero
It was such a noble public health dream, even if rather hazy to begin with. Run down SARS-CoV-2. Suppress it. Crush it. Or just “flatten the curve”, which could have meant versions of all the above. This created a climate of numerical sensitivity: a few case infections here, a few cases there, would warrant immediate, sharp lockdowns, stay-at-home orders, the closure of all non-vital service outlets... More>>

Dunne Speaks: 25 Years Of MMP - And The Government Wants To Make It Harder For Small Parties
This week marks the 25th anniversary of the New Zealand’s first MMP election. Over the last quarter century, the MMP electoral system has led to our Parliament becoming more socially and ethnically diverse, more gender balanced, and to a wider spread of political opinion gaining representation. Or, as one of my former colleagues observed somewhat ruefully at the time, Parliament starting to look a little more like the rest of New Zealand... More>>

Eric Zuesse: China Says U.S.-China War Is Imminent

China has now publicly announced that, unless the United States Government will promptly remove from China’s Taiwan province the military forces that it recently sent there, China will soon send military forces into that province, because, not only did the U.S. secretly send “special operations forces” onto that island... More>>

Dunne Speaks: Labour's High Water Mark
If I were still a member of the Labour Party I would be feeling a little concerned after this week’s Colmar Brunton public opinion poll. Not because the poll suggested Labour is going to lose office any time soon – it did not – nor because it showed other parties doing better – they are not... More>>

Our Man In Washington: Morrison’s Tour Of Deception

It was startling and even shocking. Away from the thrust and cut of domestic politics, not to mention noisy discord within his government’s ranks, Australian Prime Minister Scott Morrison could breathe a sign of relief. Perhaps no one would notice in Washington that Australia remains prehistoric in approaching climate change relative to its counterparts... More>>

Binoy Kampmark: Melbourne Quake: Shaken, Not Stirred

It began just after a news interview. Time: a quarter past nine. Morning of September 22, and yet to take a sip from the brewed Turkish coffee, its light thin surface foam inviting. The Australian city of Melbourne in its sixth lockdown, its residents fatigued and ravaged by regulations. Rising COVID-19 numbers, seemingly inexorable... More>>