Inflation, rising interest rates hit Westpac-MI sentiment index

11 May 2022

 

Summary: Household sentiment deteriorates for sixth consecutive month in May; rising cost of living pressures, prospect of rising interest rates behind weakness; four of five sub-indices lower; “largest negative reaction” following interest rate rise; respondents more concerned by prospects of unemployment. After a lengthy divergence between measures of consumer sentiment and business confidence in Australia which began in 2014, confidence readings of the two sectors converged again in mid-July 2018....

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