Farmer sentiment took a step backward in September. The Purdue University-CME Group Ag Economy Barometer fell from 135 in August to 123, with the biggest deterioration coming from producers’ assessment of current conditions.
A record 52% of producers cited higher input costs as their biggest concern, while 54% said high input costs were the main thing limiting improvement in their farm’s financial situation.
That pressure is also showing up in expectations for farm finances and investment. The Farm Financial Performance Index fell to 90, and the Farm Capital Investment Index dropped to 39.
But there’s another side to the September results.
The Long-Term Farmland Value Expectations Index reached a new high of 168, pointing to continued confidence in farmland as a long-term asset even as producers face more pressure on current farm economics.
The September survey also looks at 2027 cash rent expectations, cover crop adoption, U.S. soybean exports and competitiveness, and producers’ views on the direction of the U.S. economy.
