The Australian Financial Review --- Page: 6 : 16 August 2007 Original article by Adrian Rollins
LexisNexis Summary
The Westpac-Melbourne Institute index of consumer sentiment indicates the recent Australian interest rate rise had a modest impact on confidence. A survey of 1,200 individuals suggests the rate rise prompted an 8.1 per cent fall in the index, to 111.1 points. The confidence of young families, mortgagees and low-income households appeared hardest hit in August 2007, with the number of people claiming now is a good time to purchase a house dropping 19.6 per cent. However, the index remains 23 per cent higher than it was for the corresponding period last year. The Reserve Bank of Australia is expected to remain vigilant for signs of an acceleration in household demand.
