(fxcue news) - Small business confidence in the U.S. surged in November to its highest level in more than three years as the uncertainty regarding future economic conditions reduced following the election of Donald Trump as the next president and businesses are now looking forward to favorable tax and regulation policies, results of a survey by the National Federation of Independent Business showed on Tuesday. The NFIB Small Business Optimism Index gained eight points to reach 101.7 in November, which was far higher than the 94.6 reading economists had forecast. The latest score was the highest since June 2021. The measure thus ended a 34-month streak of remaining below the 50-year average of 98. Nine of the ten components of the headline index increased, and one remained unchanged. The Uncertainty Index declined 12 points to 98 from a record high of 110 in October. "The election results signal a major shift in economic policy, leading to a surge in optimism among small business owners," NFIB Chief Economist Bill Dunkelberg said. "Main Street also became more certain about future business conditions following the election, breaking a nearly three-year streak of record high uncertainty." Small business owners are particularly hopeful for tax and regulation policies that favor strong economic growth as well as relief from inflationary pressures, Dunkelberg added. They are also hopeful of expanding their operations, he added. Among the components, the net percent of owners expecting the economy to improve rose 41 points from October to a net 36 percent, the highest since June 2020. This had the biggest impact on the overall increase in the Optimism Index. The NFIB survey showed that a net 14 percent of small businesses thought it was a right time to expand business, the highest reading since June 2021. The net percent of owners expecting higher real sales volumes climbed 18 points to a net 14 percent, which was the highest reading since February 2020. The share of those reporting inflation as the single important problem they faced eased three points to 20 percent. Inflation surpassed labor quality as the top issue by one point. The NFIB jobs report had shown that a seasonally adjusted 36 percent of all small business owners reported job openings they could not fill in November, up one point from October. Further, 87 percent of the 55 percent of owners hiring or trying to hire in November, reported few or no qualified applicants for the positions they were trying to fill.