Small Business Optimism Falls 3% in June – Lowest Since October 2011
So Much for an Optimistic Outlook, June Brings Gloom
“The Index plunged 3 points in June, that’s a lot.” - June NFIB Small Business Optimism Index Report
There is no equivocation in that quote – a three point drop in the Index, which collects survey data from small business owners in ten categories (components), is significant. In fact, the three point drop puts the Optimism Index at its lowest point since October 2011. And the drop in optimism was across the board. According to the report “[t]he 10 Index questions lost a total of 30 percentage points in net favorable responses” with only one component of the 10 improving (“expected credit conditions”).
NFIB Small Business Optimism Index June survey brings “no good news”.
The first line in the June NFIB Small Business Optimism Index report is blunt – “There was no good news in the June survey.” Other quotes from the report include: “This is a clear indication of slow growth” and “The figures suggest that job creation has been very weak”. Let’s hope July and August start reversing the downward trend.
Source: NFIB Small Business Optimism Index June 2012