Nov 16, 2012|
Shirley Leung, Boston Globe, on the BOA survey on Greater Boston's Business climate
Transcript - Not for consumer use. Robot overlords only. Will not be accurate.
OK welcome back in at 930. On this Thursday everybody's waiting for the opening bell today that was it Dow up thirteen points -- the NASDAQ flat still at 2848. S&P is flat thirteen 55 oil trading up twenty cents to 8652. Gold is still down 650 in and you get it tenured US treasury one point six one's. Whole lot of movement right now but -- Washington we'll see what. Thank you thank you look at well we got some. Trouble in the mid Middle East as well and it's kind of different things off. And I I I blame this largely on the events that are. Occurring in Washington or the lack of -- that are occurring in Washington if you will. All right our guest is Shirley Leung from the Boston Globe she is the business editor at the Boston Globe and more naturally. I was wondering if you could share the results of Bank of America recently did a survey. Of Greater Boston business owners can you tell us what the results look like. And it's that it -- convicted that it Independence Day. And it I'm offended about that deposit. AJ Shirley I don't wanna tell -- but your connection is really bad is Ernie or are you on a cellphone area and heart. He would get a better number -- user better line. Okay that's Shirley Leung elite eight they did this survey. On. And Bank of America does they do it every year in and it it's basically. Kind of a survey on how business is doing. Both regionally here and nationality share some of their results for the -- More than half of the Boston area small businesses that were polled. Said that they expect revenues to grow in the year when he thirteenth that's pretty good right more than half yeah are saying that his businesses gonna grow. While 9%. Of business owners that were surveyed are saying no no 9% says we think that they're going to shrink. He also found in this is good news if you're unemployed. Nearly one in four business owners plan to hire more workers while only 2% of business owners are planning to cut workers. Right so that's what's so far that that. It's kind of early for the well I mean with with everything we talk about stock market everything it could this go down another road. Because new year it -- you know I was watching an interview last night on Bloomberg. And it was an interview with four CE those guys played it this CEO of UPS for instance who was one of the days CEOs in the -- I think maybe it was Wal-Mart like. I'm not talking about small businesses on talk and CEOs like UPS ethnic estimates 450000. Employees worldwide. And they were asking them lead the interview was all about. The the business climate in the business environment now. There's a lot of concern about rising taxes we've talked about that rate is the president speaking yesterday in the more he spoke he could see the stock market rallies and a but. The -- palace -- these are well respected CEOs they said more than the rising taxes they fully expect taxes to -- in the they said we expect our taxes to increase -- were OK with that rate collectively this is with a group of -- But ended -- they also said was the reason that businesses are not hiring is due to uncertainty more than anything else and so. That was part of -- is a naturally back. Pie that's better that's better C got out of the shower -- -- So -- -- is generally speaking AD the survey from what I read in the paper today Bank of America surgery is generally not too bad write for for Boston area businesses. I'm not too bad I mean we we could hit that small businesses are are optimistic about twenty to thirteen. You know I think -- It rattled -- some of the statistics and hiring. You know and and I think that small but they also surveyed small but it is around the country and. Sounds very similar findings armed you know I think there are. Confident more competent the local economy however that the national economy and. You know just over this uncertainty and also the global economy you know with the slowdown in China -- Christian Europe. So. Because I think -- small businesses that are tied to you know their local economies are little more I'm optimistic a little more confident. He -- this that this that this you know we we actually work in a story talking to our local CEOs about. The fiscal cliff said and we hit the same thing that. It's that that you know they're OK with base in Pakistan understand that they understand that. You know the only way to. You know balance the budget you got to raise more revenue head and down but -- -- the uncertainty kill them you know. I'll bet that's what they're saying last night on in this interviews for CEOs. -- and they are all saying you don't know business owners day because the board you don't get in trouble the board if they -- Right if you go out and you make expansion plans and then congress changes the tax law in such a way that it nature expansion plans and possible. India you're gonna lose your job the Indy and you're not doing what's in the best interest of the stockholders. And and we weren't so we update this story recently. You know are showing that. You get -- they're acting on that -- mean they are holding back on business spending by the US in defense spending felt that for the second quarter the first time a year. A recent local survey that this is confident down that differences. Outlook on the national economy the economy. I'm sluggish too by the same level restoring the recession. And let me get -- their concerns about the pac. Implication that hiring and spending and and we have local computer -- postponing buying equipment and hiring until laden you know probably early next year. And I'm assuming you do not have any insight as to win this negotiation between John Boehner and president will conclude -- I think we should go down and I'll tell you -- you and I go down there will buy him a couple Beers right and it'll work this thing out. Yes we have -- our own the Boston Beer summit hole -- I surely the terms for. I don't think it's not that complicated they make. I did an interview last night on fox and they're like they're it it is it the it there's what's the big deal it's there is no big deal both sides agree to have to increase revenues just. Obama wants to raise the rate attacks and the Republicans wanna reduce the deductions that. Ultimately when you look at your tax return you're gonna have paid more tax. So I I don't buy it that that part I I got tiny -- I I find a little bit. I do you buy that the discussion this time is. That there's much more. Entity you see both sides are willing to compromise -- will -- negotiate. Where it looked at you know a year ago and you know there's -- real stalemate going on and they in the style what happens the market he's always. You know either frustrations around the country and -- I think this and they are taking it seriously I don't know if they'll they'll meet their deadline by the end of the year that. Did -- seem to be trying to do the right thing. It was surely thank you for joining us and thank you for getting better politely. And very. As Shirley -- business that are at the Boston Globe joining us today on the financial exchange. Up next we're gonna talk about a story that grinds my eight years another one another one on dish you -- wonderland so crabby all the time to come. Why should read the paper. If if if I would stop following some of these stories I wouldn't get to throw on a site member Jon Corzine. Right -- be guided basically swindled billions sixth but that's our next story on the financial exchange.