New Zealand: Consumer confidence improves in Q4
December 21, 2015
The Westpac-McDermott Miller consumer confidence indicator rose from the 116.0 points recorded in Q3 to 111.7 points in Q4 2015. The reading marked the best result in half a year. As a result, the index was further above the 110-point threshold that indicates that optimists outnumber pessimists.
The improvement in Q4 reflected that consumers assessed both present and future economic conditions better than they did in the previous quarter. However, only two of the five sub-categories of the index improved in Q4, with a rebound in the one-year economic outlook mostly driving the indicator’s rise. According to Westpac, “this pick-up in confidence comes on top of other signs that the economy is continuing to hum along at a solid pace in the final part of the year. And with the RBNZ not only coming to the party, but also spiking the punch with 110bp of interest rate cuts in recent months, it’s shaping up to be a good season for many retailers.”
Author: Eric Denis , Economist