US small business optimism drops to seven month low

US small business sentiment declined in October as business owners' feelings on future economic conditions slumped due to ongoing supply-chain and hiring woes.

According to the National Federation of Independent Business, its optimism index slipped to 98.2 last month from 99.1 in September, the lowest print seen since March. Median estimates called for an increase to 99.5.

Out of the ten components in the survey, the NFIB said on Tuesday that plans for capital expenditures was the only one to improve. However, it also highlighted that spending remained "anaemic" when compared to recent economic growth.

"Small business owners are attempting to take advantage of current economic growth but remain pessimistic about business conditions in the near future," said NFIB chief economist Bill Dunkelberg.

Roughly 49% of small-business owners reported job openings that couldn't be filled, while around 39% of respondents pointed to recent supply-related bottlenecks as a significant impact on their businesses.