A monthly survey on farmers’ thoughts regarding the farm economy held steady last month. The latest reading of the Purdue/CME Group Ag Economy Barometer, which is based on a monthly survey of 400 agricultural producers from across the country, was 130. The producer sentiment index has hovered near 130 for five of the last six months and remains considerably stronger than both last fall and a year ago. A reading above 100 reflects positive sentiment, while a reading below 100 reflects negative sentiment. Producers’ forward-looking expectations, as measured by the Index of Future Expectations, improved modestly to 136. This was the second month in a row that the index increased. Meanwhile, the Index of Current Conditions fell to 117, a 10-point decline from its April reading.
The latest survey also asked farmers about the renegotiation of the North American Free Trade Agreement. Results show 61 percent of respondents thought the outcome of a renegotiated NAFTA agreement would be beneficial for U.S. farmers.
Source: NAFB News Service