Bill Evans Prices Quotations

With debt servicing ratios at record highs, house prices likely to remain soft and petrol prices stressing some household budgets a sharp resurgence in consumer spending seems unlikely,

The key factor that probably constrained confidence was the 4 per cent jump in petrol prices in the last week before the survey.

Negative factors for consumers must include the 4.2 percent collapse in the share market in the days leading up to the survey. Consumers may also be somewhat frustrated the petrol prices have not come back further.

Confidence is steadily improving from the lows of the second half of 2005, when sharp rises in petrol prices and interest rates uncertainty hampered consumers.

Confidence is steadily improving from the lows of the second half of 2005. Relatively stable petrol prices and continuing good news on the interest rate front have settled consumers.