It is no secret that we are in interesting economic times at the moment but it would seem that consumers are still spending money, they are how-ever very particular on what they spend. This could be great for the inflation rate which will assist in bringing down the interest rate.
According to some of the “BIG” retailers they expected consumers to spend a lot less then they did over Christmas, they did say that consumers are much more particular on what they buy. Consumers are taking a bit more time now to see what they can get for their money and how much value they really are getting.
It would seem that people are really taking the economic situation seriously and trying to live within their means, but still get value. The good news is that if we all keep doing this it should have a very positive effect on inflation and that in turn will help stabilise the interest rate, and then the property and other financial markets. Let’s see what happens.
