Small business confidence was roughly unchanged in January, according to the latest readings from the Canadian Federation of Independent Business. The Canadian 12-month outlook remained unchanged at 59.5 points (a value above 50 indicates net business optimism). This was highest level since November 2024 and suggests businesses are cautiously upbeat about the year ahead, but levels remain relatively low given slow economic growth and trade uncertainty. On a shorter three-month basis, businesses remain relatively pessimistic with an index value of 52.8 points after holding below 50 for the prior 12 months. Segments such as professional and business services (64.9 points), and health and education (61.3 points) are more optimistic, with a low in manufacturing (53 points). This is not entirely surprising given ongoing trade risk impacting the latter, while greater optimism in the former could reflect increased AI adoption. Manitoba (65.1) and New Brunswick (63.3) recorded the highest index readings. Firms generally view the current business environment as........

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