The optimism of small businesses in the United States has dropped to a new low in about a year and a half.

The optimism index for small businesses in the United States fell to its lowest level since October 2024 in May, almost wiping out all the growth that had been achieved since Donald Trump took office. According to data released on Tuesday, the National Federation of Independent Business (NFIB) optimism index declined by 0.6 points to 95.3. The index had risen to its highest level in six years after the December 2024 presidential election. Businesses are still facing challenges such as rising prices and economic uncertainty due to the Iran war. 70% of small business owners said that supply chain disruptions have affected their business to some extent. The proportion of business owners who view inflation as the most significant operational issue has increased for the third consecutive month. NFIB Chief Economist Bill Dunkelberg said in a statement, "More and more small business owners are facing significant and unpredictable fuel price increases, and small businesses are finding it harder than their larger competitors to pass these costs on to their customers."