Consumer confidence in Australia has dropped to its lowest point since May 2025, with the latest index showing a decrease of 1.0 points to 83.5 points last week. The four-week moving average saw a slight increase of 0.1 points, reaching 84.5.
Weekly inflation expectations remained unchanged at 5.2 percent, while the four-week average stayed steady at 5.0 percent for the third consecutive week.
In terms of financial conditions, perceptions of current finances over the past year declined by 3.1 points, whereas expectations for future financial conditions over the next year improved by 3.6 points.
Short-term economic confidence remained stable, but medium-term confidence looking five years ahead fell by 2.7 points.
The index measuring whether it is a good time to buy major household items dropped by 3.0 points and reached its lowest level since early May.
"ANZ-Roy Morgan Australian Consumer Confidence fell 1.0 points last week to 83.5 points, following the Reserve Bank of Australia (RBA)'s Monetary Policy Board’s decision to keep the cash rate on hold at 3.60 per cent last week," said ANZ Economist Sophia Angala.
Angala added: "Weekly inflation expectations remained elevated. While underlying inflation picked up in Q3, the RBA noted some of this outcome was due to 'temporary factors' and expects the broader disinflation process to continue."
She continued: "The ‘time to buy a major household item’ subindex dropped to its lowest level since early May. Upcoming sales events such as Black Friday should provide some support to household spending, but last week’s RBA hold may soften spending growth over the near term. Solid income growth, broader disinflation, and the final 25 basis point RBA rate cut we expect in February 2026 should provide momentum to the consumer recovery over the next few quarters."