Survey: CEO confidence holds steady
The WSJ/Vistage Small Business CEO Confidence Index for October 2016 revealed that confidence in the economy among small business firms has meandered sideways in a virtual holding pattern during the past three months. The widely expected revival in growth of the economy above its 1% pace has apparently been overwhelmed by economic uncertainties generated by the U.S. presidential campaign.
The WSJ/Vistage Small Business CEO Confidence Index was 96.7 in the October 2016 survey, just a few tenths lower than the 96.9 in September and a few tenths higher than July’s 96.3. About half the CEOs polled expect the U.S. economic conditions to remain the same for the coming year.
Less than half of CEOs polled revealed plans to increase their investment expenditures in the coming year. This unenthusiastic response reflects the lowest percentage since January 2013.
Just over half (52%) of the CEOs surveyed plan on ramping up their hiring for next year. At about this time last year, 55% of CEOs were planning to hire more staff.
Despite these responses, more than 2/3 of CEOs expect to realize increased revenues, and more than half are anticipating greater profits than last year.