US small business optimism drops

Small business owners across the United States grew less confident in the economic recovery in July as labor shortages remained an issue, according to a survey released on Tuesday.

The National Federation of Independent Business (NFIB) Optimism Index fell 2.8 points to a reading of 99.7 in July, almost erasing all of June’s gain. Six of the 10 index components declined, three improved and one was left unchanged.

“Small business owners are losing confidence in the strength of the economy and expect a slowdown in job creation,” Bill Dunkelberg, the NFIB’s chief economist, said in a statement.