CEOs more optimistic about economy and hiring

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WASHINGTON (AP) — A survey of chief executives at thelargest U.S. companies shows a growing
number are slightly moreoptimistic about the economy’s prospects for the next six months andexpect to
boost hiring.The Business Roundtable said Wednesdaythat its index measuring CEO outlook rose to 84.5 in
theOctober-December quarter. That’s up from 79.1 in the July-Septemberquarter.The group is an
association of chief executives at the 200 largest U.S. companies. Any reading above 50 suggests
expansion.Thesurvey noted that 34 percent of the executives expect their companieswill increase hiring
in the next six months, up from 32 percent in theprevious survey. And 73 percent of those surveyed
expect their company’ssales to increase, up from 71 percent in previous survey.Still,the CEOs expect the
economy will grow at a subpar 2.2 percent next year,unchanged from the previous two surveys’
forecasts."Ourexpectations are consistent with an economy that will continue along thepath of
steady, modest recovery into the first half of 2014," said JimMcNerney, chief executive of aircraft
maker Boeing Co. and the chairmanof the group, in a statement.During a conference call withreporters,
McNerney said many business executives are concerned aboutthe impact of President Barack Obama’s health
care law on theircompanies’ costs. Some companies are responding by "hedging" theirhiring and
their investments in the businesses, he said.The job market has shown improvement in recent months.The
economy added 204,000 jobs in October, suggesting employers shrugged off the 16-day partial government
shutdown.Andemployers have added an average of 202,000 jobs a month from Augustthrough October. That was
up from an average of 146,000 from May throughJune.The government reports Friday on November
employment.Growthhas also picked up since the last survey. The economy grew at a 2.8percent annual pace
from July through September, up from a 2.5 percentpace in the April-June quarter.But much of the
third-quartergrowth was fueled by restocking, which can be volatile. Many economistspredict that growth
has slowed to 2 percent pace in the currentOctober-December quarter.The Business Roundtable CEO survey
results are based on 120 responses received between Nov. 4 and 21.The latest reading of 84.5 is above
the index’s long-term average of 79.2. The survey has been conducted for 11 years.Copyright 2013 The
Associated Press. All rightsreserved. This material may not be published, broadcast, rewritten
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