EL MONTE — Small Business Optimism Rises nationally as owners report improving expectations and renewed interest in hiring. The latest verified data offers a potentially encouraging backdrop for workers and independent businesses across the San Gabriel Valley.
The National Federation of Independent Business Small Business Optimism Index increased 2.1 points in June to 97.4. That put the index near its 52-year average of 98.0.
The survey covers NFIB members nationwide and does not measure conditions specifically in El Monte, South El Monte, Baldwin Park or Rosemead.
Still, its employment findings provide insight into how small businesses are approaching the economy.
Small Business Optimism Rises With Hiring
A seasonally adjusted net 11% of owners planned to create jobs during the next three months. That was 2 percentage points higher than May and matched the historical average.
Meanwhile, 62% reported hiring or attempting to hire in June, up 7 points from May.
Finding workers remained difficult. Fifty-one percent of all owners reported finding few or no qualified applicants for available positions. About 32% reported job openings they could not fill, up 3 points from May.
Those national trends could matter if they develop locally. Small businesses are common throughout San Gabriel Valley commercial corridors, from restaurants and retailers to contractors and professional services.
Prices Remain A Business Concern
The June survey presented a mixed picture on inflation.
A net 38% of owners reported raising average selling prices, up 2 points from May. That marked the fourth consecutive monthly increase and the highest reading since January 2023.
The outlook was somewhat different.
A seasonally adjusted net 32% planned to raise prices during the next three months, down 2 points from May.
Inflation remained the most commonly cited business problem. About 21% of owners identified it as their single most important concern, the highest share since October 2024.
Confidence Could Support Investment
Small Business Optimism Rises alongside stronger expectations about future business conditions and sales.
A net 13% expected better business conditions over the next six months, a 10-point improvement from May. A net 9% expected higher real sales during the next quarter, up 8 points.
Capital spending plans also strengthened. Twenty percent of owners planned capital outlays during the next six months, up 4 points and the highest level this year.
Those investments can include equipment and other improvements that help businesses expand.
The NFIB Research Center releases its Small Business Economic Trends survey monthly. Its June findings suggest business owners became more confident, although inflation and worker shortages remained obstacles.
For San Gabriel Valley communities, the national figures do not guarantee stronger local hiring. They do provide evidence that more small employers are considering growth after a weaker spring.
