ANZ-Roy Morgan Consumer Confidence Index Rises Slightly to 68

Australian consumer confidence experienced a slight recovery in mid-October, with the ANZ-Roy Morgan Consumer Confidence index rising 0.9 points to 68, according to survey results released by Roy Morgan.

The modest increase follows a cumulative drop of 6.8 points over the previous three weeks, which coincided with an interest rate increase by the Reserve Bank of Australia (RBA). Despite the week's uptick, the index remains 15 points lower than the same period last year and sits 4.1 points below the 2026 weekly average of 72.1.

State-by-state data indicated rising confidence in New South Wales and Victoria, while sentiment fell in Queensland and Western Australia. Confidence in South Australia remained virtually unchanged.

The weekly improvement was driven by minor shifts in sentiment regarding personal finances and general economic performance:

• Current financial conditions: Fifteen percent of respondents reported their families are financially better off than a year ago (unchanged), while 55 percent stated they are worse off (down 1 percentage point).
• Future financial outlook: Nineteen percent expect their family to be better off financially in 12 months (down 1 percentage point), whereas 42 percent anticipate being worse off (down 3 percentage points).
• Economic outlook (12 months): Five percent of Australians expect "good times" for the economy over the coming year (unchanged), compared to 45 percent who expect "bad times" (down 1 percentage point).
• Economic outlook (5 years): Eight percent foresee "good times" over the next five years (up 1 percentage point), while 32 percent anticipate "bad times" (unchanged).
• Major household purchases: Net buying intentions held steady, with 14 percent viewing the present as a good time to buy major household items and 47 percent viewing it as a bad time.

ANZ Economist Sophia Angala noted that the 0.9-point increase partially reversed declines that followed the RBA's decision to lift the cash rate to 4.60 percent in September. Angala stated that overall confidence remains well below its long-run average, suggesting that elevated inflation and higher interest rates continue to suppress household demand. ANZ also indicated that another 25-basis-point increase in the cash rate remains likely in November.

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