On June 11, 2014 the June Duke/CFO Magazine Global Business Outlook Survey (pdf) was released. It contains a variety of statistics regarding how CFOs view business and economic conditions.
In this CFO Survey, I found the following to be the most notable excerpts:
Survey results show nearly 60 percent of U.S. financial executives think the business
environment has been harmed by a lack of public trust of business and governmental
leaders. An even larger percentage of CFOs in Africa (64 percent), Europe (68 percent), Asia
(71 percent) and Latin America (79 percent) believe public mistrust is creating a drag on
About one-third of European CFOs believe that deflation is already or soon will occur in the
Eurozone and two-thirds of these firms believe that deflation will continue for two or more
years. Most see the effects of deflation as damaging to the economy.
“These findings are particularly surprising because last week’s actions by the European
Central Bank (ECB) had been widely anticipated at the time of our survey. These European
CFOs are effectively saying that the ECB’s actions will not be sufficient to stave off
deflation.” Harvey said.
The CFO survey contains the Optimism Index chart, showing U.S. Optimism (with regard to the economy) at 61, as seen below:
It should be interesting to see how well the CFOs predict business and economic conditions going forward. I discussed various aspects of this, and the importance of these predictions, in the July 9, 2010 post titled “The Business Environment”.
(past posts on CEO and CFO Surveys can be found under the “CFO and CEO Confidence” tag)
I post various economic forecasts because I believe they should be carefully monitored. However, as those familiar with this blog are aware, I do not necessarily agree with many of the consensus estimates and much of the commentary in these forecast surveys.
The Special Note summarizes my overall thoughts about our economic situation
SPX at 1944.65 as this post is written