RSM US Middle Market Business Index Rebounds to New High
MMBI posts new high as economic fundamentals improve
INSIGHT ARTICLE |
The RSM US Middle Market Business Index posted a new high of 132.2 in the fourth quarter as the U.S. economy gains momentum heading into 2018. This suggests the decline to 125.7 in the third quarter was linked to the middle market’s diminished views at the time the survey was conducted about prospects for broader economic policy reforms. Meanwhile, the pickup in economic activity in the third quarter, and strength demonstrated thus far in the final three months of the year, have helped offset lingering concerns about the prospects for policy reforms in Washington D.C.
RSM US LLP and Harris Poll have collected data on middle market firms from quarterly surveys that began in the first quarter of 2015. The survey is conducted four times a year, in the first month of each quarter: January, April, July and October. The survey panel, the Middle Market Leadership Council, consists of 700 middle market executives, and is designed to accurately reflect conditions in the middle market. The data for each quarter are weighted to ensure that they correspond to the U.S. Census Bureau data on the basis of industry representation. A reading above 100 for the MMBI indicates that the middle market is generally expanding; below 100 indicates that it is generally contracting. The distance from 100 is indicative of the strength of the expansion or contraction.