According to the Purdue University/CME Group Ag Economy Barometer, U.S. farmers’ outlook improved in May as the index rose to 108, marking a 9-point increase from April. The Index of Future Expectations rose 11 points to 117 and the Current Conditions Index was up 6 points. This survey was conducted from May 13-17, 2024.
The rise in crop prices played a role in boosting farmer sentiment. By mid-May, Eastern Corn Belt cash corn prices had increased by 6% to 7%, and soybean prices had risen by 2% to 3% since the April survey was conducted. The improvement in prices aligned with good corn and soybean planting progress, which likely contributed to the sentiment improvement.
The Farm Financial Performance Index, which saw a 6-point increase from April, asks producers to compare their farm’s expected financial performance to last year. But, despite the gain, the index remains 15 points lower than where it was at the end of 2023. This indicates that producers still anticipate 2024 to be a more financially challenging year compared to last year.
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