Investing.com – Australia’s Westpac consumer sentiment index tumbled in January, dropping to a seven month low, data showed on Wednesday.
In a report, Westpac Banking Corporation said that its consumer sentiment index plunged by 5.7% in January, after rising by 0.2% in December.
On the index, Westpac consumer sentiment declined to 104.6 in January, down from 111.0 in the preceding month.
According to the data, consumer sentiment was weighed heavily by severe floods in the country during the period the survey was conducted.
Commenting on the report, Bill Evans, Westpac's chief economist said, “These tragic developments are likely to delay the next rate increase to the second half of 2011. We confidently expect rates to remain steady following the board meeting on Feb. 1.”
Following the release of the data, the Australian dollar was up against its U.S. counterpart, with AUD/USD gaining 0.66% to hit 1.0056.
In a report, Westpac Banking Corporation said that its consumer sentiment index plunged by 5.7% in January, after rising by 0.2% in December.
On the index, Westpac consumer sentiment declined to 104.6 in January, down from 111.0 in the preceding month.
According to the data, consumer sentiment was weighed heavily by severe floods in the country during the period the survey was conducted.
Commenting on the report, Bill Evans, Westpac's chief economist said, “These tragic developments are likely to delay the next rate increase to the second half of 2011. We confidently expect rates to remain steady following the board meeting on Feb. 1.”
Following the release of the data, the Australian dollar was up against its U.S. counterpart, with AUD/USD gaining 0.66% to hit 1.0056.