The last 14 months have seen the biggest slump in small business confidence since the financial crisis. Despite being told about how great the recovery is by authorities, at 92.9, NFIB's optimism index has collapsed to its lowest in 2 years with weakness across the board – from hiring plans to capex spending to real sales expectation. There are two 'people' to blame for this according to NFIB's chief economist – The Fed ("dithering") and Obama ("disinclined to act favorably to small business.")
Not what The Fed wants…
The datas was ugly across the board, extending recent ugliness (despite equity market's recent exuberance):
As NFIB Chief Economist William Dunkelberg explains,
Political uncertainty remains a major concern and the President does not seem inclined to act favorably on any small business owner’s major concerns.
Fed policy communications are very disconcerting, giving an impression that the economy is weak. Too much monthly dithering.
All of this generates uncertainty, the enemy of spending and hiring behavior that would move the economy forward at a faster pace.
Charts: Bloomberg
via Zero Hedge http://ift.tt/1UQ38vq Tyler Durden