Economic activity in Iowa during the fourth quarter should be similar to the previous quarter, a survey by the Iowa Business Council (IBC) found.

The 2009 Q4 Iowa Business Council Overall Outlook Survey Index (OSI) is 47.7, down one point from the 2009 third-quarter OSI of 48.7 reported in September.

The survey looks at indicators that measure economic activity among large employers in the state for the coming six months. Twenty corporate members of the IBC completed the survey during the second half of November.

Although the fourth-quarter overall OSI was down from the previous quarter, it was four points higher than the overall OSI of 43.3 from one year ago.

“It’s important to remember that business activity in Iowa, in several different sectors, is rebounding off of historic lows,” said Mel Haught, recently retired president and CEO of Pella Corp. and chair of the Iowa Business Council, in a press release. “With index numbers hovering around the positive/negative sentiment breakpoint, enthusiasm for the state’s economic recovery remains fragile with sustainability still an issue.”

The 2009 Q4 Sales OSI is 50, four points lower than last quarter and one point less than one year ago, but 65 percent of CEOs predicted steady or increased business activity over the next six months.

The 2009 Q4 Capital Spending OSI is 49, unchanged from the previous quarter but up eight points from one year ago, and 65 percent of CEOs predict that capital spending levels will be higher or remain the same through May 2010.

The 2009 Q4 Employment OSI is 44, up one point from last quarter, and up six points from the previous year. Seventy percent of CEOs expect hiring to increase or remain the same over the next six months.