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New Zealand Business Confidence Rises in June, ANZ Says

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New Zealand business confidence rose 27 points to 37 in June, according to a report by ANZ on Tuesday.

Activity indicators improved in June, with most of the increase at the beginning of the month before a noticeable drop in oil prices occurred mid-month.

Expected own activity was up 11 points to also be positive 37 from 25.6, while past own activity fell to 9 from 14.8, the report said.

The data for this month indicates increased optimism about the future, with business confidence and expected own activity at historically solid levels.

However, the impact of the initial oil shock continues to affect confidence, with the past activity measure declining again this month.

Meanwhile, inflation indicators were softer as inflation expectations eased to 3.36% from 3.63%, cost expectations fell to 85 from 90, and pricing intentions fell to a net 51% expecting to raise prices, the lowest since November.

Firms appear to be more optimistic about the future despite uncertainty, ANZ said.

This month's survey offers hope that firms and the broader economy can pick up where they left off to some extent before the rise in oil prices, according to the report.

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