There was a modest uptick in U.S. farmer sentiment in October as the Purdue University-CME Group Ag Economy Barometer index of 129 was 3 points higher than September’s reading. The slight rise in the barometer was fueled primarily by an increase in the Index of Current Conditions to 130, which was 8 points above September’s index. Meanwhile, the Index of Future Expectations was virtually unchanged, rising just 1 point to 129. Farmer’s appraisal of current conditions on their farms continues to be a tale of two economies. Livestock producers remain very optimistic about conditions on their farms, fueled in part by record-high profitability in the beef sector. At the same time, poor profit margins across all major crop enterprises lead crop producers to provide a notably more pessimistic view of the current situation on their farms. The October barometer survey took place from October 13-17, 2025.
The Farm Financial Performance Index fell to 78, 10 points lower than in September. Farmers’ financial performance expectations fell sharply over the course of the late spring and summer. In May, the financial index stood at 109, 31 points higher than in October, and proceeded to fall throughout the rest of the spring and summer. Similar to results for the Current Conditions Index, there was a big disparity in financial performance expectations among crop and livestock producers. Crop producers expect financial performance on their farms to fall well below that of a year ago, while livestock producers look for their farms’ financial performance to mirror that of one year earlier. Despite weakening financial expectations, the Farm Capital Investment Index rose 9 points this month to 62. Once again, a more optimistic view was provided by livestock producers than crop producers, thereby providing a boost to the investment index.
Read the full Ag Economy Barometer: https://ag.purdue.edu/commercialag/ageconomybarometer/livestock-sector-optimism-fuels-a-modest-rise-in-farmer-sentiment-in-october/?utm_source=delivra&utm_medium=email&utm_campaign=AgBarometer_20251104&utm_id=48689971