RSM US Middle Market Business Index Remains Near Recent Highs Amid Rising Profits and Investment
The RSM US Middle Market Business Index (MMBI) held steady at 111.8 in the third quarter of 2026, nearly unchanged from the previous quarter's reading of 113.6. This stability reflects strong business conditions driven by rising profits and sustained investment, bolstered by recent tax cuts. Middle market executives remain optimistic about future growth, with a majority expecting increases in revenues and net earnings over the next six months. Capital expenditures have surged since the pandemic as businesses prepare for economic shifts shaped by AI technologies. Over half of respondents reported increased capital spending this quarter, with even more planning to raise such outlays ahead. Workforce investment also remains strong, with firms increasing hiring and compensation rates in response to ongoing demand. However, inflation continues to pose a challenge, with most companies reporting higher input costs that are being passed on through price increases. The survey data was collected from 501 middle market businesses between July 7 and July 29, 2026.
Topics: AI impact capital spending economic growth middle market businesses