NZ Business Confidence Jumps to 40% in Q3 Despite Oil Price Risks

Key Facts

1Net business optimism regarding general economic conditions rose to 40% in the September quarter, up from 14% in the previous quarter.

2The NZIER survey showed easing cost pressures, with firms reporting higher costs falling to a net 47% from 54%.

3Renewed US-Iran conflict continues to lift fuel prices, posing a challenge to New Zealand's inflation outlook.

Net business optimism regarding general economic conditions in New Zealand rose to 40% in the September quarter, up from 14% in the previous quarter. Investinglive.com reported that the NZIER Quarterly Survey of Business Opinion showed easing cost pressures, with firms reporting higher costs falling to a net 47% from 54%.

The survey indicated that this jump in confidence occurred despite the renewed US-Iran conflict lifting fuel prices, which poses a challenge to New Zealand's inflation outlook. While the retail sector was the most upbeat at 57%, actual domestic trading activity remained flat to slightly weaker as new orders and sales fell during the period.