Farmer sentiment remained strong at the start of the new year, rising modestly from December to January. Farmers reported an improvement in current conditions on their farms due in part to increases in crop prices from early December to mid-January.
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Farmer sentiment drifted lower in December as the Purdue University-CME Group Ag Economy Barometer fell 9 points to 136. Although the barometer weakened somewhat in December compared to November, producers still retained much of their post-election optimism about the future.
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The Ag Economy Barometer Index rose 8 points to 113. At the same time, the Index of Current Conditions increased by 10 points to 100, and the Index of Future Expectations at 119 was 7 points higher than a month earlier.
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Farmer sentiment recovered somewhat in May following a sharp drop-off in April. The May reading of the Purdue University-CME Group Ag Economy Barometer came in at 108, up 9 points compared to April.
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The February Ag Economy Barometer reading reached 111, marking a 5-point rise from last month. The small uptick is attributed to producers expressing increased optimism about the future.
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