Small Business Optimism Index Dips

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After climbing steadily over three months, the Index of Small Business Optimism dropped a point in June.  Here's a look at the trend from the National Federation of Independent Businesses (NFIB):  

And here's what NFIB's William Dunkelberg and Holly Wade see as one reason for the decline:

Expected sales declined from the month prior--it was one of six components in the index to drop from the previous month.  All in all, the authors read relatively optimistic:

The economy is bouncing along the bottom and reorganizing itself to restart the growth process. Many indicators, including NFIB’s, are now headed up. They are still in “negative” territory, but will soon break the surface and become positive. The labor market indicators seem to be finding a foothold, even if a bit slippery. Based on the June numbers, the unemployment rate is expected to head down to 8.8 percent over the next three months, consistent with a return to growth in the third quarter (as predicted last year).

Read the report here.  


Posted 07-14-2009 9:36 AM by Graham Griffith
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