Confidence Steadies as Business and Consumer Sentiment Improve

• NAB Business Confidence edged down slightly in October, slipping to 6 from 7, but still holding above its long-term average a sign that sentiment remains reasonably upbeat.

• Business conditions lifted by roughly 2 points to +9, supported by stronger trading and profitability, while employment was largely unchanged. Both profitability and trading metrics now sit well above their recent lows, showing a bit more resilience in activity.

• On the consumer side, Westpac-Melbourne Institute sentiment jumped 12.8% in November to 103.8, the first time since early 2022 that the index has climbed back above the 100 mark.

• The lift suggests households are taking the RBA’s recent hawkish tone in stride, with confidence improving across most measures.

• Overall, the data points to a steady recovery story, with domestic demand still playing a key role in keeping momentum going into year-end.