Confidence continued to gain last week, though the pace of increase eased. The recent gains have resulted in the index recovering some 70% of the fall seen in the last two weeks of March. The gain likely reflects the continued good news on the path of the pandemic in Australia and the associated progressive easing of restrictions. The challenge for the coming week will be how households react to what is expected to be dire news on the state of the labour market.
All sub-indices have been smashed, but are at least rebounding:
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Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness.
Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.
