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Poll: Small biz optimism drops

August 4, 2014 --

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By NFIB

After a promising 3 month run, June’s Optimism Index fell 1.6 points to 95.0. While job components improved, capital outlays and planned spending faded along with expectations for improving business conditions. Overall only two Index components improved, two were unchanged, and six fell.

“The only two index components that increased in June were labor market indicators: the percent of owners with job openings and the percent planning to create new jobs in the coming months. While reports of actual net job creation per firm were positive, consumer and business owner optimism remain low, with both spending growth and sales expectations weak. This means there are more jobs but not much more output,” said NFIB chief economist Bill Dunkelberg. “With election day months away and no sign of change in Washington, economic growth for the rest of the year will continue to be sub-par. The unemployment rate will fall more due to people leaving the labor force than to jobs being created and fewer hands making GDP.”

A review of the June indicators is as follows:



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