---
title: "Australia Consumer Sentiment Falls Sharply"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/269787106.md"
description: "Australia’s Westpac–Melbourne Institute Consumer Sentiment Index fell 9.0% mom to 94.5 in December 2025, after a 12.8% rise in November. Economic sentiment weakened, with the one-year outlook down 9.7% and the five-year view down 11.7%. Household finances and the “time to buy a major household item” index also declined. However, views on unemployment improved. Westpac’s Mathew Hassan noted concerns over the interest-rate path and inflation."
datetime: "2025-12-16T00:21:20.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/269787106.md)
  - [en](https://longbridge.com/en/news/269787106.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/269787106.md)
---

> Supported Languages: [简体中文](https://longbridge.com/zh-CN/news/269787106.md) | [繁體中文](https://longbridge.com/zh-HK/news/269787106.md)


# Australia Consumer Sentiment Falls Sharply

Australia’s Westpac–Melbourne Institute Consumer Sentiment Index plunged 9.0% mom to 94.5 in December 2025, slipping back below the 100 level after returning to optimism in November for the first time since February 2022.

The decline followed a 12.8% surge in the prior month.

Economic sentiment weakened, as the one-year outlook slid 9.7% to 94.6 and the five-year view fell 11.7% to 95.7.

Household finances were also a drag, with perceptions of conditions compared with a year ago dropping 5.0% to 80.9, while expectations for the next 12 months eased 6.1% to 102.4.

The “time to buy a major household item” index declined 11.4% to 98.9.

Still, views on unemployment improved, down 9.1% to 126.8.

Westpac’s Mathew Hassan said renewed anxiety over the interest-rate path was feeding broader concerns about the economic outlook.

He cautioned that if inflation takes longer to normalise, the risk is that the cash rate could stay on hold for longer than currently expected.

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