In the wake of one of the most surprising elections in history, small business optimism surged in November, posting its largest month-over-month gain in more than three years. The overall index of small business optimism as measured by the NFIB rose from 94.9 up to 98.4, which was the highest monthly reading since December 2014.
Even after this month’s increase in optimism, though, sentiment among small businesses is still below its cycle peak of 100.3. But it has made up a lot of the ground it lost during 2015 and early 2016.
While taxes and government red tape are still the issues that pose the biggest problems for small businesses, both were cited by less than 20 percent of owners. The last time both of these issues were below 20 percent was five years ago, in November 2011.