A potential soft landing for the U.S. economy fails to encourage CFOs.

Given our role serving influential organizations across the globe, KPMG has frequent touchpoints with chief financial officers (CFOs) from national/multinational companies during which we share and learn insights about their top-of-mind issues and trends. Economic issues are always on the front burner with CFOs, and they freely expressed their views and concerns. 

Key takeaways

• The US economy is predicted to experience a soft landing, lowering fears about recession.
• Current numbers are a sign of resiliency, including easing CPI inflation.
• Economic conditions are more favorable than overseas, with China experiencing deflation, Europe in recession, and theEuropean Central Bank and Bank of England central banks likely to tighten rates further.
• CFOs are cautious, turning to tactics such as adding cash to their balance sheets and keeping an eye on credit markets.
• Although recruiting challenges are lessening in some quarters, positions in areas such as engineering and accounting remain difficult to fill. Merit increases are in the range of 3–4% for most.
• The new Securities and Exchange Commission (SEC) cybersecurity rule is less draconian than expected, lessening pressure on CFOs and others in the C-suite.