March 22, 2023 03:20 GMT
ANZ Data Show Consumption Responding To Worsening Finances
ANZ-observed spending data for the first half of March showed that higher inflation and rates are now weighing on spending. Total expenditure fell 7.5% y/y in the week to March 18 with average daily spending down 6.2% y/y in March to date. The weakness was broad based across non-grocery items, even in services. Retail sales for February print on March 28. ANZ expects the RBA to hike 25bp on April 4.
- Services spending fell over 12% y/y with travel -1% y/y and department store expenditure down 9% y/y. Entertainment was over 4% lower.
- Spending in capital city CBDs is still below pre-Covid levels with Melbourne’s only 73% of 2019.