Farmer’s attitudes on the economy have reached a record high, according to a new report from the Purdue University Center for Commercial Agriculture.
The monthly Purdue/CME Group Ag Economy Barometer registered 183 in October, up 27 points from September. Purdue says it is the most optimistic reading since the barometer survey began in fall 2015.
Farmers became more optimistic about both the future as well as the current situation on their farms. The measurement is based on a survey with 400 farmers in the middle of October.
Since bottoming out this summer, the ag economy has rebounded sharply and the dramatic improvement in sentiment mirrors the turnaround in the farm income picture,” said Jim Mintert, director of the Purdue Center for Commercial Ag.
He says the late summer/early fall rally in commodity prices combined with federal government payments from the second round of the Coronavirus Food Assistance Program (CFAP 2) provided a boost to many producers’ farm income.
Mintert says farmers are more optimistic about trade with China, with 59 % expecting China to fulfill its Phase One trade agreement with the U.S., compared to 47% who felt that way in September.
Mintert provides analysis of the report in the video below: