It appears American small business owners love 'hitler' and hate 'democracy'...
US small-business optimism surged in November to a more than three-year high in anticipation of more favorable economic policies after Donald Trump sealed his return to the White House.
The National Federation of Independent Business optimism index jumped 8 points to 101.7 - the highest reading since June 2021.
We've seen this pattern before...
Source: Bloomberg
That is the biggest monthly jump since July 1980 (when the US economy returned to growth from the recession that started in January).
“The election results signal a major shift in economic policy, leading to a surge in optimism among small-business owners,” Bill Dunkelberg, NFIB chief economist, said in a statement.
“Owners are particularly hopeful for tax and regulation policies that favor strong economic growth as well as relief from inflationary pressures.”
The group’s uncertainty gauge dropped 12 points after reaching a record high prior to the presidential election.
Source: Bloomberg
Nine of the 10 components that make up the overall index increased in November, led by a 41-point improvement in the outlook for US business conditions.
Source: Bloomberg
That was the biggest rise in monthly data back to 1980 and left the metric at a more than four-year high.
Businesses continued to cite inflation and labor quality among their top problems.
The net share of small-business owners expecting higher sales climbed to the highest level since the start of the pandemic.
Since the beginning of 2022, firms on net consistently expected weaker sales.
A net 14% of respondents believe it is a good time to expand operations amid expectations of major shifts in tax and regulatory policies under a second Trump presidency.
