Small Businesses had a minimal decline in optimism in October, however, there was a significant decline in current earnings and sales trends. While plans to raise prices and compensation increased, and hiring plans declined a bit.
“The October data shows that small businesses are still recovering, and owners are not optimistic about better business conditions. Small business owners are not growing their inventories as labor and energy costs are not falling, making it a gloomy outlook for the remainder of the year.”
-
The Optimism Index decreased 0.1 points in October to 90.7. This is the 22nd consecutive month below the 50-year average of 98.
-
A net negative 17 percent of all owners reported higher nominal sales in the past three months, down 9 points from September and the lowest reading since July 2020.
-
The frequency of reports of positive profit trends was a net negative 32%, down eight points from September.
-
43% of all owners reported job openings they could not fill in the current period, unchanged from September. Owners’ plans to fill open positions remain elevated, with a seasonally adjusted net 17 percent planning to create new jobs in the next three months, down 1 point from September
-
The net percent of owners raising average selling prices increased 1 point from September to a net 30 percent seasonally adjusted. Seasonally adjusted, a net 33 percent plan price hikes (up 3 points).
https://strgnfibcom.blob.core.windows.net/nfibcom/SBET-October-2023.pdf
