CEOs less optimistic about economy in new survey

Corporate CEOs remained optimistic but grew more concerned about the U.S. economy in the third quarter of 2022, with a larger share of top executives saying their companies planned to cut capital spending and new hires in the next six months, according to Business Roundtable’s Q3 CEO Economic Outlook Index released today. The overall index declined 12 points from the Q2 survey to 84, its long-run average. The index ranges from -50 to 150, with readings at 50 or above indicating economic expansion.

Plans for hiring decreased 11 points to 78, according to the index. Plans for capital investment decreased 11 points to 75. Expectations for sales decreased 12 points to 99. “The results are consistent with domestic economic conditions, including high inflation and higher interest rates, and persistent global headwinds from the war in Ukraine, including elevated global energy prices and the unfolding energy crisis in Europe,” BRT said.