Page 48 - Consumer Behaviour News Today : Breaking News, Live Updates & Top Stories | Vimarsana

Australian supermarkets are set to report stronger full-year earnings as decades-high inflation propped shelf prices, but outlook on consumer behaviour with rising borrowing costs and expenses would be key, according to analysts. Top supermarket chains Woolworths Group and Coles Group are expected to post higher annual profit, according to analyst estimates, as shoppers opt against out-of-home consumption and cut costs amid spiralling living expenses. Coles and Woolworths sell two-thirds of Australian groceries by dollar value, and are seen as bellwethers of consumer behaviour.

Interest rates have climbed by 400 basis points since May last year

Consumers and business owners say they feel paralyzed by despair, and their reluctance to spend and borrow is feeding what could become a dangerous cycle.

Beijing wanted to cool its housing market, but created a bigger problem, as the fallout from debt-laden developers and sinking sales spreads to the broader economy.

The demand situation is posing a challenge, as mentioned by a significant number of companies in their Q1 earnings statement. Businesses have now pinned their hopes on the festive season for a likely spending revival, the report said.