Business Confidence Index Mixed In Nebraska

Business Confidence Index Mixed In Nebraska

Business confidence was mixed in Nebraska during June, according to the latest monthly survey from the Bureau of Business Research at the University of Nebraska–Lincoln.

The Business Confidence Index–Nebraska had a value of 88.8 in June, which is well below the neutral level of 100.

The aggregate index value, however, reflects a significant difference between recent conditions and expectations about the next six months. The recent conditions sub-index, which reflects the change in sales and employment during recent months, was 76.5, or far below the neutral level. The expectations sub-index was 101, just above the neutral level.

“Index results show that Nebraska businesses have gone through a difficult period but have some optimism about the future,” said Eric Thompson, an economist who serves as bureau director. “Business expectations can be described as neutral or slightly positive.”

Customer demand is the primary concern for Nebraska businesses. Thirty-one percent of respondents mentioned the COVID-19 pandemic as their top business concern, primarily due to its impact on customer demand. Another 38% of businesses chose customer demand without specifically mentioning COVID-19.

“Issues such as labor availability, regulation and taxes remain as concerns but were rarely chosen as the top issue during June,” Thompson said.

The survey is sent each month to 500 randomly selected Nebraska businesses. During June, 100 businesses responded to the Survey of Nebraska Business, for a response rate of 20%.

For more information, the full survey report is available on the Bureau of Business Research website, http://www.bbr.unl.edu.