The National Federation of Independent Businesses (NFIB) business optimism index surged to its highest level since December 2004, jumping to a reading of 105.8 last month and continuing the optimism - the index gained 3.5 points to 98.4 in November -- that ensued following the victory of the man who vowed to "Make America Great Again!"
While higher than even the high range of consensus expectations of between 98.9 and 100, this has already been telegraphed by the Russel 2000 index's spectacular performance since Trump. The index jumped by 10.1% between 8 November and the final trading day of 2016 - a massive turnaround from the 10.5% loss it recorded in the first two months of last year - taking its full year 2016 gains up by 7.5%.
The details of the survey showed small business owners more confident on business conditions (net balance 50 in December from 38 in November); sales expectations (31 from 11) and now is a good time to expand (23 from 12).
However, as heralded in the recent non-farm payrolls report optimism on the jobs front waned with job openings down to 29 from 31 in November (a function of higher wages demands?). Small business owners are also worried about rising interest rates with expected credit conditions down to minus 6 from minus 4.