Consumer confidence hits record low following RBA rate hike: ANZ

The news: Consumer confidence fell to 64.1 points last week, with the four-week moving average edging 0.1 points lower to 65.9 points following the RBA rate hike, according to the latest data from ANZ-Roy Morgan.

The context: ANZ economist Sophia Angala noted these figures mark the fourth lowest level since the series began in 1973. Weekly inflation expectations fell to its lowest point since March, driven by recent declines in petrol prices.

While March household spending showed higher fuel costs, she said it had not yet dampened overall spending though record low consumer confidence suggests softer consumer demand ahead.

ANZ expects activity data to remain soft enough to keep the RBA on an extended hold at 4.35% in the near term.