Australia's household spending increased by 0.5% month-over-month in June 2025, falling short of the 0.8% estimate and down from May's 0.9% growth. Year-over-year, household spending rose 4.8%, slightly below the expected 4.9% but higher than the previous 4.2%. The moderation in spending was attributed to consumers scaling back on services. In Mexico, remittances from abroad, which constitute about one-third of income for the poorest households, amounted to $5.201 billion in June 2025. However, remittance inflows declined notably in certain states such as Querétaro, which experienced a 9.3% annual drop in the second quarter, and Quintana Roo, which saw a decrease in the first half of 2025. Only 20% of remittances were received through bank transfers, according to Banco de México data. Meanwhile, Mexico's private consumption contracted by 1% in May 2025 compared to the previous month, influenced by reduced spending on domestic goods, lower formal employment, and weakened consumer confidence. Gross fixed capital formation in Mexico also fell by 7.1% in May, marking nine consecutive months of decline, despite a 0.9% increase in gross fixed capital formation reported earlier for the same month. Year-to-date remittance flows to Mexico were down 2.5% compared to the same period in 2024, with foreign exchange effects also impacting the figures.
📉🛒 El gasto de los hogares cayó 1% mensual y 0.9% anual, afectado por menor empleo formal, baja confianza del consumidor y disminución en bienes nacionales. https://t.co/j8x2LJqI2L
Freak-out over US-Mexico remittances ignores that YTD vs same period in 2024 they are down 2.5%, not 16%. It also ignores FX impact. Could certainly be a trend but a one-off data point is not a trend. https://t.co/Iv47Ijy23r.
📉 La inversión fija bruta en México cayó 7.1% en mayo y acumula nueve meses consecutivos a la baja. https://t.co/tV3aiTjZzY