AU: Mood improves slightly even as worries about the economy grow

Consumer Confidence Sees Modest Uptick in March

The Westpac-Melbourne Institute Consumer Sentiment Index rose by 1.2% in March, reaching 91.6 compared to 90.5 in February. Although overall sentiment remains subdued and consumers are still largely pessimistic, there are signs of ongoing resilience. The market’s reaction to the Reserve Bank of Australia’s 25 basis point rate increase in February was relatively mild, and March saw a slight improvement in outlook.

However, daily survey data revealed a noticeable decline in confidence as the week progressed, likely influenced by intensifying tensions in the Middle East. Notably, responses collected during the final three days of the survey indicated a much lower index level of just 84.