(MT Newswires) -- Nick Pinchuk, CEO of Snap-On, shares his analysis of the current economic situation, pointing out that inflation and supply chain turbulence are now a thing of the past. He notes that large companies are adapting well to inflation, while small businesses are struggling, with confidence levels falling.

Data from the National Association of Manufacturers indicates that business optimism remained stable in the last quarter, a positive trend driven mainly by large companies. However, Pinchuk points out that smaller companies do not share this sense of optimism, mainly because of the current economic uncertainty.

Pinchuk's interactions with mechanics and franchisees across the US reveal that, despite booming business and rising wages, inflation remains a major source of concern, particularly when it comes to the costs of everyday consumer goods such as food.

Consumer confidence is also affected by the political climate and election worries, with widespread fear of potential changes and their negative impact. This uncertainty leads workers to focus on purchases with a quick return on investment.

Pinchuk notes that consumer confidence is essential for the economy, and that this confidence depends more on the perception of future stability than on the immediate economic situation. He points out that previous periods of crisis, such as the pandemic and the great financial recession, saw similar purchasing behaviour, with a preference for tools and investments with a rapid payback.

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