The NFIB Research Center released its quarterly Small Business Economic Trends survey, which examines the optimism level of small business owners in the construction, manufacturing, retail, and services industries.
For the first quarter, the Optimism Index across the construction, manufacturing, retail, and services industries decreased from the previous quarter.
However, optimism in the construction, manufacturing, and services industries was higher than that of the overall business community in the month of April. In fact, the indices for each sector, excluding retail, remain above the overall Optimism Index 51-year average of 98.
But the optimism among small retailers dropped significantly lower than the other three highlighted industries.
“Small business optimism declined in all four industry sectors, but most notably among small retailers and manufacturers largely due to more pessimistic views about future business conditions, supply chain disruptions, and ongoing labor quality concerns,” Holly Wade, Executive Director of NFIB’s Research Center, said. “Despite the declines in Optimism as owners navigate the evolving business climate, at least 60 percent of small firms across all industries consider their business in excellent or good health.”
The overall Optimism Index in April was 95.8.
In April, the Optimism Index for the construction industry was 100.9, down 3.9 points from January. For the retail sector, the index fell 6.4 points from January to 93.7. For services, the Optimism Index for the services industry was 98.6, down 4.5 points from January. For the manufacturing industry, the index was down 6.8 points from January, but still higher than that of the overall small business community and above the overall 51-year average of 98.