Household sentiment plunges after rate cut

12 June 2019

 

After a lengthy divergence between consumer sentiment and business confidence in Australia which began in 2014, the two sectors converged again around July 2018. Currently, both measures are around neutral or slightly negative levels. The latest reading of consumer sentiment has not really changed anything, although one particular aspect may be a cause for concern.  According to the latest Westpac-Melbourne Institute survey conducted in early June, average household optimism has...

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