Farmer Sentiment Drifts Lower in December
Farmer sentiment moved lower in December as the Purdue University/CME Group Ag Economy Barometer dropped nine points to 136.
The decline was driven by producers’ weaker perspective on current conditions in U.S. agriculture and their farms, with the Index of Current Conditions falling 13 points to 100.
Although it did decline, it was still 24 points above its low in September and five points higher than in October.
The Index of Future Expectations also fell eight points to 153, remaining 59 points above its September low and 29 points higher than in October.
While sentiment did drop, much of the post-election optimism about future conditions is still holding strong.
Producers’ optimism about the future seems to stem largely from expectations for a more favorable policy environment during the next few years.
