NEW YORK (AP) — Small business owners felt more uncertain about the future in January, as they continue to deal with labor challenges and lingering inflation.
According to a monthly poll of small business owners from the National Federation of Independent Business, the uncertainty index in January rose 14 points to 100 – the third highest recorded reading, after two months of decline. The NFIB said small business owners are feeling less confident about investing in their business due to uncertain business conditions in the coming months.
The response mirrors overall consumer confidence, which plummeted in February, the biggest monthly decline in more than four years, with inflation seemingly stuck and a trade war under President Donald Trump seen by a growing number of Americans as inevitable.
In the NFIB poll, optimism fell by 2.3 points in January to 102.8, but remained high. Optimism surged after the presidential election, and the index still topped the the 51-year average of 98 for the third month in a row.
