Please do not leave this page until complete. This can take a few moments.
A key measure of business confidence in Massachusetts rose in July, reaching its highest level since August 2012, according to the organization that publishes a monthly survey of state businesses.
The Associated Industries of Massachusetts (AIM) Business Confidence Index advanced 3.6 points last month to 52.5 on a 0-to-100 scale, recouping June’s loss and moving back into positive territory, above 50.
"The economy has become more stable if not more dynamic, and business confidence is more resilient," said Raymond G. Torto, chairman at CB Richard Ellis Group, Inc., the chair of AIM’s board of economic advisors (BEA). "We've seen mid-year drops in each of the last four years, but the brief dip in 2013 contrasts favorably with the more prolonged declines in 2010 and 2011."
But Torto said Bay State employers still have a high level of uncertainty, which he said is “particularly damaging to confidence because it is unpredictable and generally unmanageable.
“The persistent pattern of halting growth and policy frustration, though now familiar, continues to weigh down on business confidence," he added.
AIM’s sub-indices, which are based on selected questions or respondent characteristics, all rose in July after falling in June, with most coming close to their levels of July 2012. The Current Index, which tracks employers’ assessments of existing business conditions, and the Future Index, which measures expectations for the next six months, each added 3.6 points, to 51.9 and 53.1 respectively.
While those numbers are the same as they were a year ago, both numbers are above 50, and the fact that the Future Index is higher points to improvement, according to Michael A. Tyler, chief investment officer at Eastern Bank Wealth Management, a BEA member.
Other Positive Indicators
Other AIM indices cited more confidence among businesses in their own operations, as well as sales and employment. “Employers were significantly more positive about their own positions in July, especially those with more than 100 employees,” said BEA member Sara L. Johnson, senior research director of global economics at IHS Global Insight, "but few rate general business conditions in the state and nation as 'good.’”
Meanwhile, employers who report adding staff in the past six months outnumber those with reductions (24 percent to 16 percent), Johnson said.
Read more
Mass. Business Climate Remains Neutral
Federal Shutdown Drops Mass. Business Confidence
Mass. Business Confidence Rebounds
Stay connected! Every business day, WBJ Daily Report will be delivered to your inbox by noon. It provides a daily update of the area’s most important business news.
Sign upWorcester Business Journal provides the top coverage of news, trends, data, politics and personalities of the Central Mass business community. Get the news and information you need from the award-winning writers at WBJ. Don’t miss out - subscribe today.
SubscribeWorcester Business Journal presents a special commemorative edition celebrating the 300th anniversary of the city of Worcester. This landmark publication covers the city and region’s rich history of growth and innovation.
See Digital EditionStay connected! Every business day, WBJ Daily Report will be delivered to your inbox by noon. It provides a daily update of the area’s most important business news.
Worcester Business Journal provides the top coverage of news, trends, data, politics and personalities of the Central Mass business community. Get the news and information you need from the award-winning writers at WBJ. Don’t miss out - subscribe today.
Worcester Business Journal presents a special commemorative edition celebrating the 300th anniversary of the city of Worcester. This landmark publication covers the city and region’s rich history of growth and innovation.
In order to use this feature, we need some information from you. You can also login or register for a free account.
By clicking submit you are agreeing to our cookie usage and Privacy Policy
Already have an account? Login
Already have an account? Login
Want to create an account? Register
In order to use this feature, we need some information from you. You can also login or register for a free account.
By clicking submit you are agreeing to our cookie usage and Privacy Policy
Already have an account? Login
Already have an account? Login
Want to create an account? Register
This website uses cookies to ensure you get the best experience on our website. Our privacy policy
To ensure the best experience on our website, articles cannot be read without allowing cookies. Please allow cookies to continue reading. Our privacy policy
0 Comments