The ANZ-Roy Morgan Research (RMR) consumer confidence index has slumped to an 8-month low, falling by 1.0 points to 108.8 in the week ended 19 April to be tracking well below the long-run average of 113 (see next chart).
The overall slump was driven by a deterioration in perceptions about the economic outlook over the next year and next five years, which both fell for a third consecutive week.
However, households’ expectations of their finances next year rose by 2%, which ANZ claims is the sub-index most closely correlated with auction clearance rates and, therefore, may be reflective of the renewed strength in housing markets.
The below chart plots the most recent Westpac-Melbourne Institute Consumer Sentiment index against the latest ANZ-RM Consumer Confidence index:
As you can see, both remain well as truly depressed.