The Purdue University-CME Group Ag Economy Barometer rose four points in October to 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 three points to 101, while the Index of Future Expectations rose five points to 114. Farmers in this month’s survey were a bit 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, although that did not translate into a more favorable investment outlook among survey respondents. Farmers remain cautiously optimistic about farmland values, particularly when asked to look ahead five years.
Nearly one in four farmers responding to the survey reported making changes in their farm operations in response to long-term weather pattern changes. Changes implemented by farmers were wide-ranging, and some reported making multiple changes in response to shifting weather patterns.