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There was a slight uptick in agricultural producers’ sentiment in October, as the Purdue University/CME Group Ag Economy Barometer index rose 4 points to a reading of 110. The modest improvement in farmer sentiment resulted from farmers’ improved perspective on current conditions on their farms as well as their expectations for the future. The Index of Current Conditions rose 3 points to 101 while the Index of Future Expectations rose 5 points to 114. This month’s Ag Economy Barometer survey was conducted Oct. 16-20.
“Farmers in this month’s survey were slightly less concerned about the risk of lower prices for crops and livestock and felt somewhat better about their farms’ financial situation than a month earlier,” said James Mintert, the barometer’s principal investigator and director of Purdue University’s Center for Commercial Agriculture.
Farmers’ more optimistic view of their farms’ financial situation was reflected in the Farm Financial Performance Index, which rose 6 points in October compared to September. This month’s index value of 92 was the highest farm financial performance reading since April and pushed the index 7% above its reading from a year ago. The index’s rise stood in contrast to the U.S. Department of Agriculture’s forecast for 2023 net farm income to fall below 2022’s income level.
SOURCE: PURDUE UNIVERSITY
