Before the outbreak of the Middle East conflict, Australian demand remained resilient

Golden Ten Data reported on April 7 that household spending in Australia rose in February, indicating resilient demand prior to the US and Israel attack on Iran (which caused oil prices to surge and renewed concerns over cost-of-living pressures). Data released by the Australian Bureau of Statistics on Tuesday showed that consumption increased by 0.3% month-on-month, exceeding economists’ forecast of a 0.2% rise. Year-on-year spending grew by 4.6%, in line with expectations. Tom Lay, head of business statistics at the Australian Bureau of Statistics, stated that discretionary spending growth “was driven by increased expenditure on entertainment and cultural events such as concerts and musicals, as well as on air travel and accommodation services.” He added that household spending on essentials also grew, with food expenditure increasing by 1%.