Australian Consumer Sentiment Edges Up, But Pessimism Persists

Australia's consumer sentiment index rose 6% to 88.9 in August from 83.9 in July, according to a recent survey by Westpac and the Melbourne Institute.

The improvement was narrowly based among respondents with mortgages and those surveyed after the Reserve Bank of Australia's (RBA) decision on 11 August to hold the cash rate steady.

Renter sentiment told a different story, rising after the meeting but still finishing the month lower overall as pre-meeting responses had already come in below July's level.

The survey's forward-looking components improved by far less than its current conditions questions, pointing to lingering uncertainty, including geopolitical tensions in the Middle East, still weighing on household confidence.