‘Plan for the Worst’: CEO Confidence Wanes as Corporate America Prepares for Recession

CEO confidence in the U.S. economy is waning as survey results and comments from top executives suggest a dim outlook.

The Conference Board’s second-quarter measurement of CEO sentiment revealed that 57 percent anticipate the economy to go through a “very short, mild recession.” This represented the fourth consecutive quarter of declining expectations.

According to the business research group’s regular survey, 61 percent of CEOs noted that general economic conditions were worse compared to six months ago, while 37 percent stated that conditions in their own industries were worse.

“CEO confidence weakened further in the second quarter, as executives contended with rising prices and supply chain challenges, which the war in Ukraine and renewed COVID restrictions in China exacerbated,” said Dana M. Peterson, chief economist of the Conference Board, in a statement. “Expectations for future conditions were also bleak, with 60 percent of executives anticipating the economy will worsen over the next six months—a marked rise from the 23 percent who held that view last quarter.”