US small business confidence drops to 11 month low
US small business confidence fell to an 11-month low in January, according to the National Federation of Independent Business, as ongoing worker shortages and increased prices for raw materials weighed on sentiment.
The NFIB's small business optimism index fell 1.8 points to 97.1 last month for its lowest reading since February 2021, with half of the 1,504 small businesses participating in the poll reportedly raising staff compensation - the highest reading for that particular metric in 48 years.
Roughly 27% of small businesses aim to increase compensation in the next three months, while 11% said labour costs were their top concerns. 28% bemoaned labour quality.
The number of small businesses intending to hike prices jumped from 57% to 61%, the highest number seen since 1974.