Global CFO Council survey: US economy holding the line
The council—which represents 24 chief financial officers who collectively manage some $2 trillion in market capitalization—presented a picture of overall economic stability and sees signs that the U.S. remains on the right track.
But there was a slight dip in the results. Last time around, in July, 4 percent of the council felt that the economy was showing signs of strong improvement. That is now gone. A small blip, but it could prove important as the last two surveys showed economic optimism picking up steam.
Why the change in perspective? It could be due in part to the fact that the Federal Reserve has indicated it could wind-down its bond-buying program as early as September. That could have affected our CFO Council since they indicated that current Fed action and policy is the cause for the Dow's record levels this summer.
In our last survey, ahead of July's FOMC meeting, 80 percent of the CFO Council agreed that the Fed should maintain current policy.
(Read more: Think you figured out the Fed? Spare us)
Perhaps their view of modest economic optimism has also been due in part to America's "jobless recovery"—that's what 67 percent of respondents chose when asked about the state of American job growth.
If the factors that ultimately weighed on the CFO Council sentiment this time around do not change it does beg the question: Will we see another dip in optimism when we release the results of our next CNBC Global CFO Council survey ahead of third quarter earnings?
Important CNBC Global CFO Council survey results:
—After Fed chairman Ben Bernanke's June press conference and the July FOMC minutes release, the majority of the council felt that there would be no change in the Fed's fiscal stimulus policy in the third quarter of 2013. A majority of council members—almost 86 percent—believe there will be reduced stimulus in the third quarter of 2014.
—In light of recent high-profile examples of activist shareholder activity, nearly 29 percent of the council felt that it was softness in hedge fund and private equity performance creating new entrants and changing the landscape for activist investors.
—On the global economic front, the CFO Council appears to have little faith in the G20's ability to implement proposed rules on taxing multinational corporations. Nearly 40 percent of the council feels it is unlikely that loopholes will be closed and that the Group of Twenty will be able unable to maintain rules for leveling the playing field.
—By CNBC's Anthony Volastro
The complete results of the CNBC Global CFO Council Survey can be found below.
What is your perspective on the overall economy today?
What best describes your current view of inflation in the United States?
|Unchanged|| 61.9% |