The August NFIB Small Business Optimism report was released today, September 13, 2022. The headline of the Economic Trends report is “Small business optimism rebounds slightly in latest report.”
The Index of Small Business Optimism increased by 1.9 points to 91.8.
Here is an excerpt that I find particularly notable (but don’t necessarily agree with):
The NFIB Small Business Optimism Index rose 1.9 points in August to 91.8, marking the eighth consecutive month below the 48-year average of 98 but reversing some of the declines in the first half of the year. Twenty-nine percent of owners reported that inflation was their single most important problem in operating their business, a decrease of eight points from July’s highest reading since the fourth quarter of 1979.
“The small business economy is still recovering from the pandemic while inflation continues to be a serious problem for owners across the nation,” said NFIB Chief Economist Bill Dunkelberg. “Owners are managing the rising costs of utilities, fuel, labor, supplies, materials, rent, and inventory to protect their earnings. The worker shortage is impacting small business productivity as owners raise compensation to attract better workers.”
Below is a chart of the NFIB Small Business Optimism chart, as seen in the full August 2022 NFIB Small Business Economic Trends (pdf) report:
The Special Note summarizes my overall thoughts about our economic situation
SPX at 3979.28 as this post is written