ANZ and Roy Morgan have teamed up to publish a high-frequency consumer confidence index for Australia. The index will be launched on tomorrow (11th February) at 9:30AEDT and will be published weekly.
ANZ and Roy Morgan will produce consumer confidence indices for a number of key economies in the Asian region. A monthly Indonesian consumer confidence index will be launched on 18th February, while we already publish a monthly consumer confidence index for New Zealand.
WHY FOLLOW THE ANZ-ROY MORGAN AUSTRALIAN WEEKLY CONSUMER CONFIDENCE PULSE?
Consumer confidence is an important economic indicator, providing a reliable read on the overall pulse of the economy. In Australia, consumer confidence is correlated with household spending (on goods and services, as well as on housing and financial assets such as equities). Confidence is also a good gauge of labour market conditions, and as a result, is closely correlated with business confidence. Please see charts below.
The ANZ-Roy Morgan weekly consumer confidence index has the following advantages:
- Real-time reads on consumer confidence. Surveys are conducted on weekends and the results will be published on the following Tuesday. It will be more timely, although is closely correlated, with other measures of confidence in the market (the correlation coefficient between ANZ-Roy Morgan index and Westpac-Melbourne Institute is +0.90).
- High frequency will assist in the interpretation of key drivers. Over time, consumer confidence is a generally reliable indicator of the outlook for household spending. However, on a weekly basis it can be impacted by many factors. The frequency will allow users to more easily identify the key drivers of confidence at certain times and better determine if the outlook for household spending has changed. More comprehensive commentary on trends in consumer confidence will be published each month, drawing on the detailed data that Roy Morgan collects.
- Less volatility. This is because of the surveys’ relatively large sample size (around 1,000 consumers are surveyed weekly), and weekly prints will give a clearer read on confidence in the month.
- You can subscribe to the data! Email firstname.lastname@example.org or speak to your ANZ representative.