There is no doubt that the U.S. economy is still struggling to make a convincing recovery from the credit meltdown. Asset prices have been pushed higher by the Federal Reserve, and the labor market is failing to keep pace with population growth. However, the latest report on sentiment from chief executive officers predicts a slight improvement for certain areas of the economy over the next six months.
The Business Roundtable, which is an association of chief executive officers of leading U.S. companies, recently published its second-quarter CEO Economic Outlook Survey. The survey was completed between May 13 and May 31, and provides a forward-looking view on the economy.
As the chart above shows, the economic index for the survey increased to 84.3 in the current quarter, compared to 81.0 in the first quarter. It is the second uptick in five quarters and the highest reading since the second quarter of 2012 – when the index hit 89.1. The current long-term average is 79.3.