U.S. Small Business Confidence Hits Multi-Year Low as Tariff Concerns Mount

The NFIB Optimism Index fell sharply in March, reflecting deepening uncertainty ahead of President Trump’s tariffs set to take effect on April 9.

The NFIB Small Business Optimism Index dropped 3.3 points in March to 97.4, the lowest level since June 2022 and below the 51-year average.
Small business owners are increasingly uncertain about the economic impact of President Trump’s forthcoming tariffs, announced on April 2 and set to begin on April 9.
Only 21% of small business owners expect improved business conditions in the near term, marking the lowest confidence level in years.
Fed Chair Jerome Powell warned that the tariffs could lead to inflation and slower economic growth, exacerbating fears of a self-inflicted recession.
The NFIB report noted that while uncertainty eased slightly in March, it remains historically high as businesses brace for potential disruptions to supply chains and pricing.