Market Prices and Input Costs are Pushing Expectations Lower

Farmer outlook took a downturn at the start of 2024 as the January Purdue University-CME Group Ag Economy Barometer Index fell to a reading of 106, eight points below a month earlier.

Compared to year-end, producers had a more negative outlook of their farms’ current situation along with a weakened outlook for the future.

The percentage of producers expecting weaker financial performance rose from 20% in December to 31% in January, while those expecting incomes to be about the same fell from 63% to 53%.

The combination of high input costs and declining commodity prices generated a weaker financial performance outlook for 2024, according to the survey results.