uploads/2018/04/2-57.jpg

Are US CEOs Confident about the US Economy?

By

Updated

The Conference Board CEO Confidence

The Conference Board CEO Confidence Survey is a quarterly report that collects responses from ~100 CEOs from different industries in the US. The data collected covers the CEOs’ attitudes and expectations for the economy and their respective industries. The industries represented by these CEOs include the manufacturing (IYJ) and services (VCR) industries.

The Conference Board CEO Confidence Index increased from 63 in 4Q17 to 65 in 1Q18. The report indicates that 65.0% of the CEOs have a positive outlook for their industry as well as the US economy.

Article continues below advertisement

Excerpts from the April report

April’s CEO Confidence Survey indicated that CEOs who assessed the current economic conditions were more positive. About 75.0% of the respondents stated that conditions have improved compared to six months ago.

About 51.0% responded that conditions have improved in their own industries and that the short-term outlook was significantly better. These respondents expected economic conditions to improve further.

Global outlook of CEOs

According to Lynn France, director of economic indicators at the Conference Board, these CEOs were optimistic in their outlook for developed and developing economies. They noted that economic conditions are favorable in the United States, India (INDL), and Brazil. However, they perceive that conditions have declined in China (FXI) and Japan (EWJ).

Overall, the Consumer and CEO Confidence Index reports indicate that the recent strong growth for the US economy is likely to continue in the next few months.

Advertisement

More From Market Realist