As sales expectations improveTalkingstickpokerIn April, optimism among small businesses in the US improved for the first time this year, with the proportion of business owners planning to raise prices falling to an one-year low.
According to the National Federation of Independent Enterprises (NFIB), the optimism index of small and medium-sized enterprises has risen by 1% from its lowest level since 2012.Talkingstickpoker.2: 00 to 89Talkingstickpoker. 7 . Although the index was higher than economists had expected, it was still well below the long-term average of 98.
The proportion of companies planning to raise prices fell 7 percentage points to 26 per cent, the lowest level since April 2023. The proportion of companies that said inflation was the most concerned fell 3 percentage points to 22% from a year-on-year high the previous month.
"cost pressure remains a top priority for small business owners, including historically high proportion of small business owners raising salaries to retain and attract employees," Bill Dunkelberg, the group's chief economist, said in a statement. "overall, small business owners remain historically very pessimistic as they continue to address these challenges."
The small business optimism index rose for the second time since July last year. The rebound comes as US consumer confidence has fallen in recent months amid concerns about high interest rates, high prices and a cooling labour market.
Seven of the 10 sub-indices that make up the small business optimism index rose in April, including a rise in sales expectations.TalkingstickpokerSix percentage points. The proportion of business owners who say they plan to increase capital spending has also risen.
In the labour force-related index, the proportion of companies that reported being unable to fill vacancies rose 3 percentage points to 40 per cent in April, while 12 per cent of companies said they planned to create new jobs in the next three months, up one percentage point. However, these labour force indicators have generally declined so far this year.