New Zealand consumer confidence eases in December despite healthy economic signals

Consumer confidence in New Zealand eased during the month of December, although other economic signals remained healthy. Also, the two earthquakes that wrecked havoc across the country do not seem to have any material impact over the country’s consumer sentiment.

New Zealand’s ANZ-Roy Morgan Consumer Confidence Index eased from 127.2 to 124.5, with the seasonally adjusted series showing a similar pull-back. Both movements are a marginal tweak from levels of excellence.

The Current Conditions and Future Conditions Indexes fell 2 and 3 points respectively. The levels for both (Current Conditions 125.1; Future Conditions 124.1) remain very buoyant. Net optimism towards the economy in 1 and 5 years’ time fell to a net 22 percent, down 1 percent and 18 percent, down 10 percent respectively.

Indicators for concurrent spending continue to stick and move. A net 13 percent of respondents feel better off compared with a year ago, the same reading as last month. Consumer enthusiasm towards buying major household items fell from +42 to +38, hardly a slap. As concurrent spending indicators, both augur well for the Christmas retailing period.

Meanwhile, NZD/USD traded at 0.70, up 0.01 percent, while at 6:00GMT, the FxWirePro's Hourly NZD Strength Index remained neutral at -63.72 (a reading above +75 indicates a bullish trend, while that below -75 a bearish trend). For more details, visit http://www.fxwirepro.com/currencyindex