SYDNEY, Dec 20 (Reuters) - Consumer confidence in New Zealand rose in December, touching its highest levels in more than three years, ANZ-Roy Morgan data showed on Friday, as lower interest rates brightened mood of families who were struggling with high mortgages.
The consumer confidence index nudged higher to 100.2 in December from 99.8 in November. A reading above 100 shows optimism, while below that indicates pessimism.
Only a net 1% think it is a bad time to buy a major household item, up 12 points.
"Things are looking up for the economy. After an unusual deliberate recession caused by higher interest rates, lower interest rates are proving to be an effective remedy," ANZ Chief Economist Sharon Zollner said in a statement.
The survey comes a day after data showed New Zealand's economy sank into in the third quarter, a result that cements the case for more aggressive rate cuts. The Reserve Bank of New Zealand have already cut rates by 125 basis points to 4.25% since August.
(Reporting by Renju Jose in Sydney;)
((renju.jose@thomsonreuters.com [renju.jose@thomsonreuters.com];))
