Fresh data just dropped showing how deep the inflation bite really goes. Nearly 9 out of 10 small-to-midsize business owners are feeling the squeeze in their day-to-day operations right now.

What's their game plan? Well, over 64% are gearing up to push prices higher in the coming year. Can't really blame them when margins get crushed like this. Another 39% are taking the opposite route - tightening their belts and slashing spending instead.

This split response tells you everything about the current economic puzzle. Some businesses still have pricing power and loyal customers who'll absorb the hikes. Others? They're in survival mode, cutting costs wherever possible just to stay afloat.

The ripple effects matter for everyone watching markets. When Main Street businesses start making these kinds of defensive moves, it eventually shows up in employment numbers, consumer spending patterns, and yeah - even risk asset allocations. Inflation isn't just a headline number anymore. It's rewiring how businesses operate at ground level.