CEOs anticipate lower sales, less investment, job cuts

Reuters reports:

U.S. chief executives' confidence in the economy fell further in the first quarter, setting a second consecutive all-time low…

The quarterly CEO Economic Outlook Index fell to negative 5 — the first negative reading in the survey’s six-year history — and down from a fourth-quarter reading of 16.5. A reading below 50 means CEOs expect contraction rather than growth.

The CEOs… said they now expect real U.S. gross domestic product to decline 1.9 percent this year…

71 percent — said they expected to cut their U.S. workforces over the next six months and 66 percent said they expect to reduce capital spending. That came as 67 percent said they expect lower sales over that period.

Posted by James on Tuesday, April 07, 2009