Consumer confidence has turned more pessimistic, and Wellington is the most downbeat region of all.
The ANZ-Roy Morgan monthly consumer confidence index fell 4 points in April to 82.1, which was near the lows seen during the 2008 Global Financial Crisis, but slightly above more recent pandemic lows.
A reading over 100 indicates optimism.
Inflation expectations eased slightly to 4.4 per cent from 4.5 per cent in March, while expected house price inflation rose slightly to 3.5 per cent from 3.4 per cent.
More people think it is a bad time to buy an appliance, with 28 per cent in April versus 24 per cent in March.
Only 5 per cent expect to be better off this time next year, compared with 19 per cent last month.
ANZ senior economist Miles Workman said weaker signals out of Wellington were not surprising given its exposure to central government.
“Interestingly, however, Wellington’s relative optimism wore off from early 2022, perhaps as it became clear that fiscal expansion couldn’t go on forever,” he said.
“As the public sector as a share of economy contracts from here, this cut of the data will be worth paying close attention to.”
rnz.co.nz