After an uptick last month, the Accountants Confidence Index resumed the modest decline of the previous few months. Respondents continued to be divided over the likely impact of the Tax Cuts and Jobs Act, trade policies and more on the short- and mid-term potential of the economy — but a growing number of pollees continue to note that they expect a slowdown in the time frame beyond that, as the current economic recovery nears its 10th year.
The ACI, published in partnership with ADP, is a monthly economic indicator that leverages the insights of accountants into the strength and prospects of businesses in the U.S. The 3-Month ACI came in at 54.32, down somewhat from the previous month's 54.75, though both were still well above the 50 mark that separates expectations of growth from expectations of contraction. The 6-Month ACI, meanwhile, came in at 56.06, down somewhat from last month's 56.54.
Among the index components, the steepest drop was among respondents' expectations for their own growth in the short-term, no doubt reflecting the end of tax season and the start of the slower summer months. On the other hand, overall expectations for the economy as a whole actually rose, bucking most of the other trends in the survey.
The ACI is created from a monthly poll of the Accounting Today Executive Research Council, an online community of more than 1,500 tax and accounting professionals.