FX.co ★ NFIB Small Business Optimism Edges Higher

The NFIB Small Business Optimism Index increased for the second month in a row, reaching 99.5 in December 2025, its highest point since August and aligning with market expectations. This figure remains above the 52-year average of 98, primarily bolstered by an increase in owners anticipating improved business conditions, which surged by 9 points to a net 24%. Additionally, reports of positive profit trends saw slight improvement, rising by 3 points from November to a net negative 20%. In terms of overall business health, 9% of owners rated their businesses as excellent (a decrease of 2 points), 54% as good (an increase of 1 point), 34% as fair (an increase of 4 points), and 3% as poor (a drop of 2 points). Nonetheless, intentions for hiring, capital investments, and expectations for increased real sales experienced a decline. Taxes were identified as the foremost concern for 20% of small business owners, a 6-point rise from November and the highest level recorded since May 2021. Conversely, the Uncertainty Index decreased by 7 points to 84, representing its lowest point since June 2024.