Small Business Optimism Falls Slightly in May

The NFIB Small Business Optimism Index fell 0.2 points in May, measuring 99.6. The Optimism Index saw a slight pause in recovery in May after steadily increasing every month since the beginning of the year. The Uncertainty Index decreased 1 point to 79.

A seasonally adjusted net 27.0% of owners plan to create new jobs, up 6 points from the previous month. The percent of owners thinking it’s a good time to expand declined 1 point to 13.0%. Forty-eight percent of respondents reported job openings they could not fill in the current period, up 4 points from April’s number.

A net 7.0% of all owners (seasonally adjusted) reported higher nominal sales in the past three months, up 4 points from April. The net percent of owners expecting higher real sales volumes increased 2 points to a net 3.0%.

Three percent of owners reported that all their borrowing needs were not satisfied (up 1 point). Twenty-three percent reported all credit needs met (down 3 points) and 62.0% said they were not interested in a loan (up 3 points). A net 2.0% reported their last loan was harder to get than in previous attempts (down 1 point).

Read the NFIB report.