Sending a Swarm of Small Satellites Into Orbit on This Week @NASA – July 21,2023

NFIB:Small Business Optimism Below Average

The National Federation of Independent Business' Optimism Index came in at 90.2 for October,up 1.3 from September.This was below the year to date average of 91.1,and only a little better than the average since January 2009 of 89.1.The gain was mainly the result of less negative views about prospects for real sales and business conditions,NFIB said.
Basically we've gone nowhere since the recession ended,according to Bill Dunkelberg,NFIB Chief Economist.We're thinking the economy will be worse three years from now than better.Sales expectations are still low.I expect it to continue that way for some time.
We've gone through a big period of inventory and staff reduction.We're kind of set for the relatively weak level of consumer spending that we have to deal with.It is a demand problem.Until that changes,we're not gonna be doing any hiring.Consumer sentiment is the worst since 1980.
The NFIB Optimism Index usually leads the market a little bit,Mr.Dunkelberg observed.
Small business generated 65% of net new jobs over the past 17 years,the Small Business Administration claims.

Small Business,Big Problem

Parts of the financial system are still very damaged,Treasury Secretary Timothy Geithner says.Access to credit for small business is still very constrained.We need to keep getting capital to banks and the Small Business Administration for small businesses.A recovery that's gonna work requires that it be led by private demand,if it's gonna be sustainable.We're not gonna make the mistake of putting on the brakes too early.If you look at the cost of credit,there's been a really dramatic improvement in the system as a whole.Generally the system today is in a much better position to provide the credit the country needs.
Private capital is more valuable than public capital,Mr.Geithner emphasized.The financial markets are open for capital,as they have been since spring.Regulatory reform must provide 1.much stronger protection for consumers and investors,and 2.a less fragile system,where the government can take action without putting the people at risk.
Getting growth on track led by the private sector is our number one priority,Mr.Geithner asserted.The big source of uncertainty now is how strong private demand is gonna be.Uncertainty is bad for business.When health care reform is settled,the certainty will be a very good thing for businesses across this country,Secretary Geithner believes.His speech becomes slurred at times as his mind races ahead of his tongue.He repeatedly returns to the importance of the private sector and small business.

The End or Beginning

The cost of credit has started to ease,Mr.Geithner informed the U.S. Senate.Businesses are finding it easier to raise money in the capital markets.This is all welcome news,but I want to emphasize this is just the beginning.We still face a prolonged repair and adjustment.The combined effect of the programs will help.We're working very closely with the Small Business Administration.Refinancing of commercial real estate is a major challenge.The best thing we can do is 1.provide capital where it is necessary;and 2.have the Federal Reserve extend lending to Commercial Mortgage-Backed Securities,or CMBS.These are two very important steps to take.
About half the AIG risk has been taken down.To be fair,the management of this firm is finding it incredibly difficult to disentangle the businesses.Our options were substantially constrained by the complexities of this firm,Tim Geithner pointed out.Wearing a charcoal suit,white shirt and blue striped tie,the Treasury Secretary maintained his composure and seriousness through the intense exchanges with the demanding senators.