US NFIB: Business owners remain upbeat – Wells Fargo

Small business confidence ended 2019 on a soft note, with the NFIB Small Business Optimism Index falling two points during December, explained analysts at Wells Fargo. They argue that despite the decline, business owners remain upbeat and see better economic conditions in coming months.

Key Quotes: 

“The index dipped to 102.7 during December, erasing much of November’s sturdy gain. While confidence has waxed and waned for much of the past year, owners generally remain optimistic and expect improved economic conditions in coming months.”

“The Uncertainty Index rose eight points, reflecting the early December trade negotiations, which ultimately resulted in the Phase I deal, as well as the start of impeachment proceedings.”

“Six of the 10 subcomponents dropped, although owners expect better business conditions and higher sales in the next three months, with each of those subcomponents advancing 3 points.”