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Main » 2016 » April » 14 » US: Small business in sorrow
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US: Small business in sorrow
 
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The indicator of confidence of small US businesses fell to 2-year low in March.Entrepreneurs are worried that they could not fulfill the plan for profits and sales - based on AMarkets.

 

AMarkets

 

According to the National Federation of Independent Business (NFIB), index of small business optimism index fell 0.3 points to the level of 92.6 in the last month (sank 6 of 10 subcomponents of the index) - at least since February, 2014. For comparison - in December 2014 the value was at 100. In the last 42 years, the segment index averaged 98. Analysts say that the current location of the index signals a recession. The April data will be decisive and will be able to give an answer for sure - there is a recession in the US economy or not.

 

Small business in the most pessimistic about the labor market prospects. The higher the unemployment, the lower sales in the small business sector. Interviews with representatives of the segment shown that they are willing to reduce prices to stimulate sales. even not talking about price increases. US GDP growth in the first quarter amounted to less than 1%. The growth of inflation to speak early. From the private sector an incentive for the growth of prices will not be exact. All hope for the buyer - a surge of retail activity.

 

 

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