US Small Business Optimism Falls to 11-Month Low in March
The NFIB Small Business Optimism Index fell to 95.8 in March as rising oil prices outweighed tax benefits. Owners also reported concerns over costs and sales.
Small business sentiment in the United States has retreated to an 11-month low as the economic impact of geopolitical conflict outweighs domestic tax benefits. The National Federation of Independent Business (NFIB) reported on Tuesday that its Small Business Optimism Index fell 3.0 points to 95.8 in March, marking the lowest level since April 2025 and dropping below the 52-year average of 98.0.
The decline coincides with a significant rise in energy costs driven by the ongoing conflict involving Iran and Israel. The price of Brent Crude Oil has climbed more than 35% since the start of hostilities in late February, with prices recently surpassing $100 per barrel following reports of a naval blockade.
