Chief Executive magazine’s CEO Confidence Index, which is a compilation of broad executive economic sentiment, rose by 7.9 points to 100.5 according to 766 top executives surveyed in the first week of September, before the collapse of Lehman Brothers and the following turmoil in financial markets.
All five indices, with the exception of the Investment Confidence Index, rose in September. The Business Condition Index experienced the highest gains, increasing 18.1 points to 102.5 points, followed by the Employment Confidence Index, which increased 13.6 points to 100.9.
The Investment Confidence Index, which tracks capital spending at corporations as well as CEO market confidence, dropped by 5.6 points to 98.3. Additionally, while 21% of respondents said they had plans to increase capital spending at their companies, 26% said they plan to decrease spending.
While CEO Confidence recorded increases both in August and September, polling shows that CEOs are far from confident in the economy, as the Index lingers around 100.5 points, 30 points down from a year ago.
Edward M. Kopko, CEO and Publisher of Chief Executive magazine, said, “Our polling was done when most business were still trying to make sense of the credit crisis that currently engulfs this country. Now that so much has changed, there is little doubt that confidence will be corrected downwards next polling cycle.”
CEO Index, September 2008
|Index||September, 2008||August, 2008||Monthly Change|
Current Confidence Index
Future Confidence Index
Business Condition Index
Invest Confidence Index
Employment Confidence Index