Huffpost Small Business

Small Business Confidence Falls In June After Steady Growth

Posted: Updated:
SMALL BUSINESS CONFIDENCE
'Sorry, We're Closed Sign in a small town main street storefront window.Shot in Mason, Michigan.' | Getty

WASHINGTON (Reuters) - Small business optimism fell in June from its one-year high as an uncertain recovery continues to unfold.

The National Federation of Independent Business said on Tuesday its Small Business Optimism Index decreased 0.9 point to 93.5 last month, changing course from two straight months of growth.

Six of the index's 10 components fell and two were unchanged. Only job creation plans and the six-month outlook advanced.

This mirrors economists' predictions that the economy will pick up momentum in the second half of this year after a lackluster start.

More owners are reporting negative sales trends than positive ones. "Nothing cheers up a small business owner more than a customer, and they remain scarce and cautious," the NFIB said.

Last month, the share of owners planning to increase inventories fell 4 points, accounting for about 40 percent of the decline in the index.

Job creation plans increased after slipping last month and the percentage of small business owners reporting they could not fill job openings remained the same.

The NFIB reported earlier this month that small business employment ticked down by 0.09 workers per firm. An almost equal proportion of owners hired as opposed to cut jobs, but those firms reducing employment more than offset the gains at other businesses.

(Reporting by Paige Gance; Editing by Andrea Ricci)

Also on The Huffington Post

Top 10 Cities For Small Business Employees
of
Share
Tweet
Share this
close
Current Slide

Suggest a correction

Around the Web

Small Business Economic Trends Survey - NFIB Optimism Index

Small business confidence slips in June | Reuters

After Two Months of Gains, Small-Business Confidence Down in June

Small Business Confidence Slips in June

Craftsmen's Guild and Small Business Confidence

Big and small companies now confident of bouncing back

Small Business Losing Confidence?

Small-Business Confidence Edges Up

WA small businesses most confident: survey

US Minorities Less Confident in Police, Small Business