Story perspectives

U.S. Business Confidence Plummets Amid Tariff Impacts

9/5/2025

Summary

Story summary

U.S. business confidence is low, with the Principal Financial Well-Being Index at 6.89, down from 8.08 last year.
58% of businesses report negative impacts from tariffs, especially in retail (70%) and manufacturing (69%).
Small business hourly earnings growth is at 2.58%, the lowest since December 2020, with flat job growth.
The UK’s unemployment rate is projected to remain at 4.7% for 2025, with GDP growth revised to 1.3%.
Croatia's labor market shows a significant annual drop of 14.2% in job vacancies, favoring permanent contracts.

History

Historical Context

The 2008 global financial crisis triggered a severe economic downturn, with U.S. unemployment peaking at 10%. This crisis eroded business confidence, reflected today in the Principal Financial Well-Being Index, which fell from 8.08 to 6.89. Currently, 58% of businesses report negative tariff impacts, highlighting ongoing concerns about economic stability and labor market recovery.

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Story summary

U.S. business confidence is low, with the Principal Financial Well-Being Index at 6.89, down from 8.08 last year.
58% of businesses report negative impacts from tariffs, especially in retail (70%) and manufacturing (69%).
Small business hourly earnings growth is at 2.58%, the lowest since December 2020, with flat job growth.
The UK’s unemployment rate is projected to remain at 4.7% for 2025, with GDP growth revised to 1.3%.
Croatia's labor market shows a significant annual drop of 14.2% in job vacancies, favoring permanent contracts.

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