Key Point: “U.S. small-business confidence dropped for a third straight month in March, eroding most of the gains that followed President Donald Trump’s election victory in November, amid rising concerns over the administration’s trade policy. The National Federation of Independent Business said on Tuesday its Small Business Optimism Index fell 3.3 points to 97.4, below the 51-year average and the biggest drop since June 2022.”

Reuters: US small business confidence drops, economic outlook dims

• U.S. small-business confidence dropped for a third straight month in March, eroding most of the gains that followed President Donald Trump’s election victory in November, amid rising concerns over the administration’s trade policy.

• The National Federation of Independent Business said on Tuesday its Small Business Optimism Index fell 3.3 points to 97.4, below the 51-year average and the biggest drop since June 2022. The slide mirrored declines in both consumer, opens new tab and business confidence in other recent surveys.

• The share of owners expecting better business conditions dropped 16 points, to 21%, the lowest since October and the biggest drop since December 2020. The net share of businesses expecting higher sales in the next three months dropped to 3%, also the lowest since before the presidential election.

• [T]he number planning to raise prices in the next three months ticked up to 30%, the highest in a year. Meanwhile a net 12% of businesses reported plans to increase hiring in the next three months, the lowest in 11 months.