Overview

• The NFIB Small Business Optimism Index surged 8 points in November to 101.7, the highest level since June 2021, marking the largest monthly increase on record.
• A net 36% of small-business owners expect economic improvement, the most optimistic outlook since June 2020, while 14% believe it is a good time to expand operations.
• Key drivers of optimism include expectations of tax cuts, deregulation, and policies aimed at reducing inflation and fostering economic growth under Donald Trump's administration.
• Persistent challenges remain, with 48% of businesses struggling to find qualified workers and inflation still a top concern, though some improvement in labor and wage conditions was noted.
• The uncertainty index dropped 12 points from October, reflecting eased concerns following the election, as businesses plan capital investments and anticipate higher sales growth.