Rate hike prospects smack consumer sentiment

Westpac measures headed for Hades.

In January, Westpac-Melbourne Institute Consumer Sentiment fell 1.7% to 92.9.
The move is driven by deteriorating perceptions of the near-term prognosis.
Now, over two thirds of customers anticipate an increase in mortgage rates in 2026.
Customers are less optimistic about their employment prospects.
Most people between the ages of 18 and 34 are favorable about “time to buy a dwelling,” with fewer negative opinions.
Expectations for home prices have somewhat cooled, but they remain quite optimistic.

I still see no move from the angry lady.

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.