Consumer anxiety jumps (especially for anxious)

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From NAB:

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The NAB Consumer Anxiety Index rose to 64.5 points in Q2 (61.7 points in Q1) – its highest level since the survey began in Q1’13 – with elevated anxiety mostly driven by growing concern over government policy (with the survey conducted after the May Federal budget) and cost of living (which remains the single biggest concern for Australian consumers). Consumer anxiety related to ability to fund retirement, health and job security also increased. Anxiety is highest in Victoria, but rose most in WA where the economy continues to feel the strain of the mining boom transition. Women are still more anxious than men, but the gap is closing. Among the other key findings: anxiety is notably higher for low income earners (<$35K), divorced people and women (18-29) and lowest in Tasmania, for widows and high income earners (>$100K). Our special report (“Budget Impacts”) shows that Australian consumers expect the biggest impacts of May’s Federal budget over the next 12 months to be felt on their overall financial position, spending on non-discretionary services, access to government benefits and general level of savings, while spending on education and childcare and hours worked will be least affected.

The relative value of this index may be called into question by the following finding:

Consumer anxiety typically highest for those who…

  • lived in Victoria, Queensland & WA
  • resided in a rural town or the bush
  • earned less than $35,000
  • were female
  • aged 50+ (women and men)
  • were divorced
  • had children
  • lived in a household of 3+ people
  • did not finish high school
  • were not employed or not retired
  • worked in technical professions

No shit!

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Full report here.

About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.