Latest news with #MicheleBullock
The Advertiser
3 days ago
- Business
- The Advertiser
Retail trade slumps following Trump tariff shock
Spooked consumers slashed retail spending after Donald Trump's tariffs sent a shudder through markets. Turnover fell 0.1 per cent in April after rising 0.3 per cent the month prior, the Australian Bureau of Statistics reported on Friday. The downturn ends a three-month streak of modest growth to start 2025. On an annual basis, sales rose 3.8 per cent, down from the 4.3 per cent rise over the 12 months to March. Consumer confidence took a beating last month, after Donald Trump's "liberation day" tariff dump on April 2 rattled financial markets and ripped billions from superannuation balances. Surveys by Westpac and ANZ showed a marked decrease in reported confidence metrics following the announcement. Reserve Bank governor Michele Bullock noted growth in consumer spending had been slower than expected since the start of the year, with falling interest rates and rising disposable incomes expected to boost consumption. "Households are being a little bit cautious," Ms Bullock said in her press conference following the last RBA board meeting. "It's not picking up as much as we thought it might given historical circumstances, but I think we will expect it to pick up." The result would have been even worse if not for a rebound in Queensland following Cyclone Alfred. Turnover jumped 1.4 per cent in the Sunshine State following a 0.4 per cent contraction in March, with Western Australia the only other jurisdiction to record positive growth in April. Supermarket sales eased off following a rise in cyclone-related stock-piling, while spending at cafes and restaurants bounced back. ABS head of business statistics Robert Ewing said spending eased particularly on clothes amid warmer-than-usual April weather while food-related spending was driven by more dining out in Queensland. "More people dined out and made recovery purchases on household items like furniture and electrical goods," he said. The bureau's retail trade publication will soon be replaced by its new household spending indicator, which provides a more comprehensive overview of household consumption. The ABS also revealed building approvals sank 5.7 per cent to 14,633 in April, driven by a fall in apartment consents. Approvals retreated 8.8 per cent in March but have been trending upwards since early 2024. Numbers remain below historical peaks and well below the pace needed to meet the federal government's target of 1.2 million new homes over five years. Spooked consumers slashed retail spending after Donald Trump's tariffs sent a shudder through markets. Turnover fell 0.1 per cent in April after rising 0.3 per cent the month prior, the Australian Bureau of Statistics reported on Friday. The downturn ends a three-month streak of modest growth to start 2025. On an annual basis, sales rose 3.8 per cent, down from the 4.3 per cent rise over the 12 months to March. Consumer confidence took a beating last month, after Donald Trump's "liberation day" tariff dump on April 2 rattled financial markets and ripped billions from superannuation balances. Surveys by Westpac and ANZ showed a marked decrease in reported confidence metrics following the announcement. Reserve Bank governor Michele Bullock noted growth in consumer spending had been slower than expected since the start of the year, with falling interest rates and rising disposable incomes expected to boost consumption. "Households are being a little bit cautious," Ms Bullock said in her press conference following the last RBA board meeting. "It's not picking up as much as we thought it might given historical circumstances, but I think we will expect it to pick up." The result would have been even worse if not for a rebound in Queensland following Cyclone Alfred. Turnover jumped 1.4 per cent in the Sunshine State following a 0.4 per cent contraction in March, with Western Australia the only other jurisdiction to record positive growth in April. Supermarket sales eased off following a rise in cyclone-related stock-piling, while spending at cafes and restaurants bounced back. ABS head of business statistics Robert Ewing said spending eased particularly on clothes amid warmer-than-usual April weather while food-related spending was driven by more dining out in Queensland. "More people dined out and made recovery purchases on household items like furniture and electrical goods," he said. The bureau's retail trade publication will soon be replaced by its new household spending indicator, which provides a more comprehensive overview of household consumption. The ABS also revealed building approvals sank 5.7 per cent to 14,633 in April, driven by a fall in apartment consents. Approvals retreated 8.8 per cent in March but have been trending upwards since early 2024. Numbers remain below historical peaks and well below the pace needed to meet the federal government's target of 1.2 million new homes over five years. Spooked consumers slashed retail spending after Donald Trump's tariffs sent a shudder through markets. Turnover fell 0.1 per cent in April after rising 0.3 per cent the month prior, the Australian Bureau of Statistics reported on Friday. The downturn ends a three-month streak of modest growth to start 2025. On an annual basis, sales rose 3.8 per cent, down from the 4.3 per cent rise over the 12 months to March. Consumer confidence took a beating last month, after Donald Trump's "liberation day" tariff dump on April 2 rattled financial markets and ripped billions from superannuation balances. Surveys by Westpac and ANZ showed a marked decrease in reported confidence metrics following the announcement. Reserve Bank governor Michele Bullock noted growth in consumer spending had been slower than expected since the start of the year, with falling interest rates and rising disposable incomes expected to boost consumption. "Households are being a little bit cautious," Ms Bullock said in her press conference following the last RBA board meeting. "It's not picking up as much as we thought it might given historical circumstances, but I think we will expect it to pick up." The result would have been even worse if not for a rebound in Queensland following Cyclone Alfred. Turnover jumped 1.4 per cent in the Sunshine State following a 0.4 per cent contraction in March, with Western Australia the only other jurisdiction to record positive growth in April. Supermarket sales eased off following a rise in cyclone-related stock-piling, while spending at cafes and restaurants bounced back. ABS head of business statistics Robert Ewing said spending eased particularly on clothes amid warmer-than-usual April weather while food-related spending was driven by more dining out in Queensland. "More people dined out and made recovery purchases on household items like furniture and electrical goods," he said. The bureau's retail trade publication will soon be replaced by its new household spending indicator, which provides a more comprehensive overview of household consumption. The ABS also revealed building approvals sank 5.7 per cent to 14,633 in April, driven by a fall in apartment consents. Approvals retreated 8.8 per cent in March but have been trending upwards since early 2024. Numbers remain below historical peaks and well below the pace needed to meet the federal government's target of 1.2 million new homes over five years. Spooked consumers slashed retail spending after Donald Trump's tariffs sent a shudder through markets. Turnover fell 0.1 per cent in April after rising 0.3 per cent the month prior, the Australian Bureau of Statistics reported on Friday. The downturn ends a three-month streak of modest growth to start 2025. On an annual basis, sales rose 3.8 per cent, down from the 4.3 per cent rise over the 12 months to March. Consumer confidence took a beating last month, after Donald Trump's "liberation day" tariff dump on April 2 rattled financial markets and ripped billions from superannuation balances. Surveys by Westpac and ANZ showed a marked decrease in reported confidence metrics following the announcement. Reserve Bank governor Michele Bullock noted growth in consumer spending had been slower than expected since the start of the year, with falling interest rates and rising disposable incomes expected to boost consumption. "Households are being a little bit cautious," Ms Bullock said in her press conference following the last RBA board meeting. "It's not picking up as much as we thought it might given historical circumstances, but I think we will expect it to pick up." The result would have been even worse if not for a rebound in Queensland following Cyclone Alfred. Turnover jumped 1.4 per cent in the Sunshine State following a 0.4 per cent contraction in March, with Western Australia the only other jurisdiction to record positive growth in April. Supermarket sales eased off following a rise in cyclone-related stock-piling, while spending at cafes and restaurants bounced back. ABS head of business statistics Robert Ewing said spending eased particularly on clothes amid warmer-than-usual April weather while food-related spending was driven by more dining out in Queensland. "More people dined out and made recovery purchases on household items like furniture and electrical goods," he said. The bureau's retail trade publication will soon be replaced by its new household spending indicator, which provides a more comprehensive overview of household consumption. The ABS also revealed building approvals sank 5.7 per cent to 14,633 in April, driven by a fall in apartment consents. Approvals retreated 8.8 per cent in March but have been trending upwards since early 2024. Numbers remain below historical peaks and well below the pace needed to meet the federal government's target of 1.2 million new homes over five years.
The Australian
3 days ago
- Business
- The Australian
Retail trade falls despite Easter and Anzac Day
Australians are still not spending despite back-to-back public holidays in April, which could force the Reserve Bank of Australia to come to the rescue with additional rate relief. The latest figures by the Australian Bureau of Statistics shows retail sales fell by 0.1 per cent in the month of April despite having two holidays. This follows growth of 0.3 per cent in March 2025 and 0.2 per cent in February 2025. Food-related spending was up, with growth in cafes, restaurants and takeaway services growing 1.1 per cent to be the standout. Oxford Economics Australia lead economist Ben Udy said the RBA may cut rates even sooner than expected. 'This weakness is one indication that households are being a little cautious in the face of rising global uncertainty,' he said. 'We still expect consumption to rise over the rest of the year, supported by the recovery in real household incomes and RBA rate cuts. 'But unless consumption picks up a little more strongly in the coming months, the RBA may cut rates even sooner than we currently expect.' RBA governor Michele Bullock delivered further rate relief in May. Picture: NewsWire / Nikki Short The Reserve Bank of Australia began its rate cutting cycle in February, pausing on the cash rate in April before cutting again in May. It has reduced the official cash rate from 4.35 per cent at the start of 2025 to 3.85 per cent after the second interest rate reduction. The ABS data was in April occurring prior to the second interest rate reduction. ABS head of business statistics Robert Ewing said retail spending eased in April, particularly on clothing. 'Falls were partly offset by a bounce-back in Queensland as businesses recovered from the negative impacts of ex-Tropical Cyclone Alfred last month,' he said 'The rise in food-related spending was driven by more dining out in Queensland this month. The bounce-back comes after adverse weather negatively impacted cafe and restaurant sales,'Mr Ewing said. Australians kept their hands in their pockets in April. Picture: NewsWire / Gaye Gerard There were mixed results across the industries with the largest falls in clothing, footwear and personal accessory retailing down 2.5 per cent while department stores also slumped 2.5 per cent. This was partially offset by rises in other retailing up 0.7 per cent and household goods retailing which rose 0.6 per cent. 'Clothing retailers told us that the warmer-than-usual weather for an April month saw people holding off on buying clothing items, especially new winter season stock,' Mr Ewing said. Retail turnover rose in Queensland by 1.4 per cent and Western Australia 0.4 per cent with all other states and territories recording a fall since March. 'Queensland retailers recovered from last month's temporary business closures and fewer customers,' Mr Ewing said. 'In April, we saw higher spending in the industries most impacted by ex-Tropical Cyclone Alfred. More people dined out and made recovery purchases on household items like furniture and electrical goods.'
Bloomberg
3 days ago
- Business
- Bloomberg
RBA Pivots to Confront Global Downside Risks as Inflation Eases
After a three-year campaign to rein-in inflation, Australia's central bank is now switching its focus to economic risks arising from the Trump administration's tariff regime and mounting geopolitical upheaval. Reserve Bank Governor Michele Bullock surprised markets last week when she told reporters she intended to 'retire' the 'narrow path' analogy she has used since taking the helm in 2023 to describe efforts to return prices to the 2-3% target while holding onto job gains. Bullock is currently visiting China, Australia's key trading partner and the US's primary tariff target, to meet with senior officials in order to get their reading of events.
Business Times
5 days ago
- Business
- Business Times
Australia's monthly CPI higher than estimates, Aussie edges up
[SYDNEY] A gauge of Australia's monthly inflation came in slightly faster than expected in April, coinciding with a period of tariff turmoil that roiled markets and encouraged the Reserve Bank of Australia (RBA) to lower interest rates last week. The Consumer Price Index (CPI) indicator stayed at 2.4 per cent, compared with economists' estimate of 2.3 per cent, data released by the Australian Bureau of Statistics (ABS) showed on Wednesday (May 28). The headline figure has now been inside the RBA's 2 to 3 per cent band for nine months. The trimmed mean measure, which smooths out volatile items such as food and energy and is the focus of the RBA's attention, rose to 2.8 per cent in April from 2.7 per cent in the prior month. The central bank has been monitoring core inflation as government rebates and subsidies have somewhat suppressed the headline figure. The Aussie dollar edged higher and the benchmark share index pared gains after the data. The RBA cut its cash rate by a quarter-percentage point last week to 3.85 per cent, its second reduction for the year, as policymakers view risks of another burst of price pressures to be receding. Governor Michele Bullock signalled after the decision that she's more concerned about downside risks to economic growth as trade turmoil and geopolitical upheaval come to the fore. While the monthly gauge is not as comprehensive as the quarterly data that guides central bank policy, it nonetheless gives RBA officials a sense of the trajectory of consumer prices. Still, with the Trump administration's tariff regime threatening global activity, inflation is likely to begin to take second place to concerns about the economic outlook. The RBA next meets on Jul 7 to 8 and traders are pricing about a 70 per cent chance of a cut at that meeting and reckon there's a high chance of three more rate reductions this year. Wednesday's report also showed:
Yahoo
5 days ago
- Business
- Yahoo
Australia's Monthly CPI Higher Than Estimates, Aussie Edges Up
(Bloomberg) -- A gauge of Australia's monthly inflation came in slightly faster than expected in April, coinciding with a period of tariff turmoil that roiled markets and encouraged the Reserve Bank to lower interest rates last week. UAE's AI University Aims to Become Stanford of the Gulf NY Wins Order Against US Funding Freeze in Congestion Fight The Consumer Price Index indicator stayed at 2.4%, compared with economists' estimate of 2.3%, data released by the Australian Bureau of Statistics showed on Wednesday. The headline figure has now been inside the RBA's 2-3% band for nine months. The trimmed mean measure, which smooths out volatile items such as food and energy and is the focus of the RBA's attention, rose to 2.8% in April from 2.7% in the prior month. The central bank has been monitoring core inflation as government rebates and subsidies have somewhat suppressed the headline figure. The Aussie dollar edged higher and the benchmark share index pared gains after the data. The RBA cut its cash rate by a quarter-percentage point last week to 3.85%, its second reduction for the year, as policymakers view risks of another burst of price pressures to be receding. Governor Michele Bullock signaled after the decision that she's more concerned about downside risks to economic growth as trade turmoil and geopolitical upheaval come to the fore. While the monthly gauge isn't as comprehensive as the quarterly data that guides central bank policy, it nonetheless gives RBA officials a sense of the trajectory of consumer prices. Still, with the Trump administration's tariff regime threatening global activity, inflation is likely to begin to take second place to concerns about the economic outlook. The RBA next meets on July 7-8 and traders are pricing about a 70% chance of a cut at that meeting and reckon there's a high chance of three more rate reductions this year. Wednesday's report also showed: The largest contributors to the annual movement were food and non-alcoholic beverages, housing and recreation and culture ''While annual inflation eased for most food categories in April, egg prices were up by 18.6% in the past 12 months. This comes as supply has been affected by bird flu outbreaks,' said Michelle Marquardt, ABS head of prices statistics Rents rose 5% in the 12 months to April, the lowest annual growth since February 2023 --With assistance from Shinjini Datta. Mark Zuckerberg Loves MAGA Now. Will MAGA Ever Love Him Back? Why Apple Still Hasn't Cracked AI Millions of Americans Are Obsessed With This Japanese Barbecue Sauce Inside the First Stargate AI Data Center How Coach Handbags Became a Gen Z Status Symbol ©2025 Bloomberg L.P. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
