NFIB Small Business Optimism Index

The NFIB Small Business Optimism Index is a monthly economic indicator that measures the sentiment and outlook of small businesses in the United States. It is published by the National Federation of Independent Business (NFIB) and serves as a barometer of the overall economic conditions and future expectations for small businesses.

The index encompasses various factors and gauges how small business owners assess their current business conditions and perceive their future growth prospects. These factors include sales, employment levels, investment plans, profitability expectations, pricing power, and general economic conditions.

The NFIB Small Business Optimism Index is calculated as an index and measured on a scale of 100 basis points. If the index value is above 100, it indicates that small businesses are generally optimistic, while a value below 100 suggests a more pessimistic outlook. The index value is considered an indicator reflecting the level of economic optimism among small businesses and their growth potential.

The NFIB Small Business Optimism Index is closely monitored by economic policymakers, investors, and economists. This index can influence overall economic conditions as it reflects the confidence of small businesses in economic growth and their intentions to expand or invest in their businesses.