Consumer sentiment on the rise

The Reserve Bank is smiling this week, with Australians starting to respond to the recent interest rate cuts and the likelihood of more to come in the coming months.

Consumer sentiment has risen to its highest point since April 2011 to a level of 104.3, according to the Westpac Melbourne Institute Index. Anything over 100 means consumers are feeling optimistic, a great sign for the economy given the importance of confidence, consequent spending and the flow on multiplier effect.