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We're talking about the small business optimism index that we got yesterday pretty disappointing number -- that recession levels -- feeling that we are actually in recession levels and this isn't important index to watch because it was the first index release in.
The Supreme Court handed down its landmark decision on obamacare back in June.
So -- -- was looking to this.
In that kind of key it -- of the small business community.
And it fell two points to 91 point -- you but -- fell less than expected.
Economists are expecting a bigger drop than their optimism wants obamacare was upheld the -- so I spoke with build -- -- yesterday he's the chief economist for -- and a IB.
And he said that you know like all the other economists he's expecting a beer drop but he things that's so much of the media hype that was surrounding the decision.
Kind of heated this small business community in did to accepting that this was going to be upheld but I wasn't a surprise yet wasn't that surprising investors -- historical context.
Like I said this -- in recession levels -- lowest level at this hit during -- recession was actually in.
July of 2009 and you -- that 86 point two.
And the highest level I was I was actually this past February 2012 when it was at 94.
So where in between but like if that -- on -- Russian territories that are -- after they're assessing you would hope that would be higher would be great to have those February levels again oh yeah absolutely so.
-- the major issue for a small business -- 20% and said -- -- and sell their top issue.
He says people aren't buying their stuff exactly they're not buying and only 5% of small business and I think that now is a good time to be in business.
Meaning -- well I don't think it's that time to be in business.
So don't let it almost like saying 95% of small businesses kind of which didn't have a company his -- yeah out and what's worse is that for the next six months they're not feeling not good their optimism levels you know for the future they don't think that it's going to clear up any time soon and this all.
Translates to hiring going to say not hiring because its sales aren't -- why would they hire new workers and -- -- we -- dividend bringing a profit back in and still hiring is of course -- -- and the index and still only 11% of businesses hired an average of three workers.
Her firm over the past six months 11% -- three workers over the past six months yes I -- 10% of workers.
2.3 percent so -- -- exactly so it's it's canceling each other out if they are hiring they still firing you know little over two workers' average per for her.
Cop not good no that's very disturbing definitely not they want to -- to make them.
Higher while blankets and that would bill yesterday from -- I mean he said he's not feeling any better evening six months out.
They do he said that the -- they talk from July to July and that optimism he thinks he's going to see the same name.
So next July so not getting -- so even have to deal action in.
They're -- good feeling -- he tell you what happens if Romney gets elected and if Obama gets reelected.
Even if they do get elected nothing's gonna happen from announcement on member -- -- -- from November to January really again until the next president sworn and -- -- not gonna happen except for the fact that.
We're approaching fiscal Clinton saw a lot could yeah yeah lose their optimism -- I don't know I don't remember it hit yeah.
-- -- -- They can't get a lot -- -- candidates and one you're -- on hiring at 40% of businesses didn't even attempt to higher over the past -- just about have not even trying yeah and where did try to hire.
Said that they couldn't find skilled workers so.
Yeah and I know we've talked about this before on the show but that's skilled work very you know skilled workers gap is always a huge issue for -- isn't that is it because -- -- the really good in.
Employees right now we're working -- bigger for.
Or outlet how how could I think you know that I think that a lot of job training isn't as strong as it happened in the past never -- -- is really impacted.
The amount of skilled workers you would think that with more people out of work EBE here trying to save it but not a sound these small business or -- they say other trying to better target.
Advertising to get.
More skilled workers and that's but I I have spoken in small business owners before and now I think that you think that they would have more muscle action but that doesn't seem to be the case and of course there hobby anymore -- about who they're bringing on -- -- -- someone who's not -- fit for your business.
-- you're ready a little risky about hiring I would GMT that -- and bring him down.
Today LA -- them I mean I would be the same -- nice you know we try to ban -- -- uncertainty.
Associated hearing I don't think we say no idea that we we did and I'm gonna -- -- this time because the empire state survey say which is the New York manufacturing survey.
-- -- not good news on manufacturing in this area where we are now but.
I'm for everybody who who hate that word I -- we really have to say 53%.
Of respondents in this survey cited uncertainty.
As a reason says more than half.
Uncertainty insulin saying there eight capital spending business plans.
And then that affects their hiring a school -- yeah there is slightly higher if you're not feeling you know steady -- -- home we just means to make them feel.
If anyone has supported yeah.
I'm sure well it has already been spoken about as the closer to November yet seemingly -- that it is my coming up.
Yeah right let's -- -- article on foxbusiness.com.
Kit Rodgers thank you so much for coming on an to land joining us -- go to great great now we'll talk about some more of the issues affecting small businesses when we come back from the.