Mass. business confidence turns positive for the first time in a year

"The reported uptick in confidence is welcome, but these results largely predate the military conflict in the Middle East. Continued conflict has direct implications for energy prices, inflation, and supply chains - all of which weigh heavily on business confidence."

"The deployment of artificial intelligence, especially at larger companies, boosted productivity and helped Massachusetts employers cope with labor supply constraints. In addition, sustained economic growth and favorable federal tax policies are encouraging business investment."

"The AIM Index is a survey of more than 140 Massachusetts employers that has run since 1991. It is calculated on a 100-point scale, with 50 as neutral; a reading above 50 is positive, while below 50 is negative."

Massachusetts employers showed optimism for the first time in a year, with the Associated Industries of Massachusetts Business Confidence Index climbing to 52 in February from 46.6 in January. The increase was fueled by artificial intelligence deployment boosting productivity, sustained economic growth, and favorable federal tax policies encouraging business investment. However, this confidence surge predates recent Middle East escalations. Continued regional conflict poses direct risks to energy prices, inflation, and supply chains. Despite the positive index reading, employers remain concerned about tariffs, inflation, and rising costs for energy, housing, and healthcare. The survey encompasses over 140 Massachusetts employers on a 100-point scale where 50 represents neutral sentiment.

Read at Boston.com