NFIB Index Edges Higher in March

Wells Fargo Research Team Wells Fargo

The Small Business Optimism Index rose 0.1 point to 101.8 in March. While the index has fallen from lofty highs of recent years, optimism remains elevated and businesses continue to report plans to expand.

Small Business Optimism Firms

The 101.8 reading indicates optimism among business owners remains high, although owners have become more guarded. Stronger consumer confidence and less volatile financial markets will likely bring further gains in coming months.
The proportion of firms expecting the economy to improve was little changed at 10.8%, however those reporting that now was a good time to expand increased to 22.6%.

Wages Rising, but Price Pressures Continue to Ease

Plans to hire improved modestly, although the trend has softened, which is consistent with our expectation for a more moderate pace of hiring this year. Difficulty finding labor was once again a top concern, leading to more firms raising compensation.
That said, fewer firms reported raising selling prices during March. Firms planning to raise prices also declined, reflecting more modest price pressures in coming months.

Download The Full Economic Indicators

Author

Wells Fargo Research Team

Wells Fargo

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.