Confidence At U.S. Small Companies Climbs To Three-Year High, Survey Shows
Confidence among U.S. small companies rose in February to the highest level in three years as hiring and sales expectations increased, a survey showed.
The National Federation of Independent Business’s optimism index climbed to 94.5, the highest since the recession began in December 2007, the Washington-based group said today in a statement. The reading compares with the average 100.7 during the previous expansion that started in November 2001.
Hiring plans rose to the second-highest level since September 2008, a sign employment may pick up in coming months. At the same time, earnings expectations remained negative, and fewer businesses said it was a good time to expand.
“The future is looking brighter for a few more small- business owners,” William Dunkelberg, the group’s chief economist, said in the statement. Still, he said, “this is not a reading that characterizes a strongly rebounding economy.”
Figures on employment turned more optimistic. Small businesses with plans to add to payrolls rose 2 points to a net 5 percent. A net 15 percent of firms in the February survey said they were having trouble filling job openings, the highest level since September 2008.
