Treasurer Wayne Swan says cautious Australian consumers will start to feel confident again when stability returns to international markets.
Mr Swan said the fundamentals of the Australian economy remained strong despite the latest economic data showing some soft spots.
"Australia is not immune from global economic events but I think Australian consumers can take great confidence from the fact that our fundamentals are strong," Mr Swan told reporters in Melbourne.
Australia posted its fourth consecutive monthly trade surplus in June as the economy continued to be underwritten by the mining boom, while retail spending fell by 0.1 per cent.
Mr Swan said Australians were saving more and spending less, with events in Europe and the US having an impact on consumer confidence.
"I think the most important thing is to see some stability in international markets, for the United States to take the step that it has just taken but to take the next step as well.
"That is going to be very important for global confidence, for investors and markets to see that there is a very clear plan in the United States to return to fiscal sustainability in terms of budget policy."
US President Barack Obama beat the deadline for raising the nation's debt ceiling and averted an unprecedented national default, but warned the contentious plan was "just the first step" on a long road to economic recovery.
Mr Swan welcomed the passage of the debt deal.
"I think everybody around the world breathed a very big sigh of relief, not just in Washington but here in Australia.
"I think the United States is in for a long and painful process of fiscal adjustment and it's important that that takes place to return certainty to the global economy."
Australian stocks fell sharply today on fears that the US may be sliding back into recession.
"What we are seeing play out in the global economy and in global markets is the uncertainty that flows from events in the United States and in Europe," Mr Swan said.
"We're not immune to all of those things."
