Plans to buy shares swing upwards

Respondents to a monthly survey by independent economist Tony Alexander shows a slight easing in the level of pessimism consumers feel towards spending going forward – but only back to levels of two months ago.

A net 27 per cent of the 438 respondents in the April survey report plans to cut spending in the next three to six months – an improvement from the net 37 per cent negative of March but still well below the average reading of a net 4 per cent positive spending intentions.

But four areas where people plan to spend more are groceries (unavoidable due to rising costs), international travel, domestic travel and shares. Strong cutbacks remain planned for eating out, furniture and appliances.

Share buying intentions have turned positive for the first time since September last year, according to the survey.