Overview

• Fielded in early June among 257 member companies, the survey shows 58% expect a moderately better economy and 24% a much better one over the next 12 months.
• For the first time in a decade, surveyed expectations matched subsequent outcomes, with the business expectations index at 72 versus 76 in the prior reading.
• The tax burden is the principal obstacle for 75% of respondents, while inflation concerns receded to fourth place at 18% and 70% foresee only a moderate rise in the dollar.
• At the firm level, 52% report a better situation than a year ago, about half plan to lift investment, 33% see employment increasing and 42% expect it to hold steady.
• Sectoral gaps persist as services report higher capacity use than industry, and IDEA leaders note that the post-survey rate hikes are seen as temporary but could flatten activity.