The Purdue University/CME Group Ag Economy Barometer declined in July as farmer sentiment continued to weaken. The barometer dropped 11 points from June to a reading of 135, reflecting U.S. farmers’ more negative perceptions of both current conditions and future expectations.
The July Current Conditions Index fell 17 points from the previous month, landing at 127, while the Future Expectations Index showed a smaller decline of seven points to 139. Farmers’ more pessimistic outlook for 2025 income was primarily driven by their assessments of current conditions.
Despite the lower scores across the three main farmer sentiment indexes, overall sentiment remains significantly higher than it was at this time last year. Nearly three-fourths of July survey respondents said they believe U.S. policy is moving in the right direction.
The Farm Financial Performance Index, which signals concerns about weak income prospects for 2025, dropped 14 points from June to 90. The Farmland Value Expectations Index also moved lower.
