The magic Malcolm Turnbull worked on people's confidence in the economy when he seized the prime minister's job appears to be waning.
The latest weekly consumer confidence reading shows Australians now feel a lot more pessimistic about the economy's prospects since last September, when Mr Turnbull replaced Tony Abbott as prime minister.
The survey by ANZ-Roy Morgan found that people's confidence about the economic outlook for the next 12 months slumped 7.5 per cent last week, continuing falls from the previous three surveys.
"This index is now at its lowest level since the appointment of Malcolm Turnbull as PM, suggesting the Turnbull effect may be waning off," the survey found.
Overall, consumer confidence dropped 0.8 per cent in the week ending January 17, after falling 1.9 per cent the previous week.
Consumers have been spooked by global sharemarket turbulence, with confidence levels now just a tick above the long-run average.
"The impact of financial market instability is a reminder that global shocks provide ever-present risks for a small open economy like Australia," ANZ's co-head of Australian economics Felicity Emmett said.
CommSec's chief economist Craig James said confidence is up just 0.4 per cent on the average since 1990.
Mr James said consumer spirits have also been deflated by the sliding Australian dollar, which is now trading around seven-year lows of about 69 US cents.
"It means overseas trips and imported goods are potentially more costly," he said.
While people's views about the economic outlook continue to drag on overall confidence, they have been on a downward trend since mid-November.
However the falls have been partially offset by a solid bounce in consumers' views about their own financial position.
The sub-index covering respondents' view of their finances in the next 12 months rose 4.8 per cent last week, recouping falls during the previous fortnight.
And consumers' views on their current finances compared to a year ago surged 8.6 per cent, after a 9.9 per cent fall the previous week.
Mr James said this is good news for retailers.
"(And) data showing unemployment at 26-month lows certainly helps to support confidence," he said.
