Newtek Business Services, Inc., NASDAQ: NEWT, The Small Business Authority, announced the release of the SB Authority Index of small business indicators for August 2012, reaching 113.57 points, up .60% from July 2012.  Activity in Newtek's merchant processing volume scale and the Russell Microcap Index data led the increase.

President and CEO, Barry Sloane said, "The SB Authority Index is showing some signs of life in the results for the month of August. Two components in particular showed good gains, pulling the index higher in a tough economy. Both the Russell Microcap Stock Index and Newtek's own proprietary merchant processing data showed strong growth among small and medium-sized businesses, leading the index higher with a .60% gain for the month of August. Strong consumer spending led the merchant processing index higher. The Russell Microcap Index rising is, in our opinion, a function of Federal Reserve Bank easing of monetary conditions, forcing interest rates lower and creating liquidity which invariably runs into equities. The stock market's rise is good for the incumbent President in his re-election bid, as people feel richer in their retirement accounts and cost of capital becomes cheaper for business. A great question is, will this pump priming last for the long term? Based on the data we have today, it is hard to determine if the up-tick in the SB Authority Index reflects a moment in time or a slight continuing uptrend."