U.S. small-business confidence improved in January as worries about inflation eased, but labor shortages remained a major concern for many owners, according to a survey on Tuesday.
The National Federation of Independent Business (NFIB) said its Small Business Optimism Index rose 0.5 point to 90.3 last month, also lifted by an improvement in the share of owners who expected better business conditions over the next six months.
Still, it was the 13th consecutive month that the index was below the 49-year average of 98. Owners expecting better business conditions over the next six months rose 6 points to a net -45%, pushing further away from an all-time low of -61% last June.
Twenty-six percent of owners reported that inflation was their single most important problem, down 6 points from December and 11 points below July’s reading, which was the highest since the fourth quarter of 1979.
About 42% of owners reported raising average selling prices, down a point from December. The steady decrease aligns with views that inflation is cooling after surging in the first half of 2022 in part because of stretched supply chains.
This report’s information was first seen on REUTERS; to read more, click this link.
