Farmer Sentiment Drops Amid Rising Input Costs
In September 2026, farmer sentiment in the U.S. declined significantly as concerns over rising input costs reached a record high according to the Purdue University/CME Group Ag Economy Barometer survey. The Index of Current Conditions dropped by 18 points from August's reading of 135 to 123 this month. While long-term expectations for farmland values remained positive, with an index score of 168 (up five points), the overall outlook on future financial conditions weakened as more farmers anticipated worsening operations in the next year. The survey also revealed growing pessimism about short-term farm finances and capital investment plans, reflected by a drop from 103 to 90 for the Farm Financial Performance Index. Corn and soybean producers largely expected cash rents to remain stable or increase slightly over the coming year, with cover crop usage still relatively limited across most farms. Additionally, concerns were raised about U.S. competitiveness in global soybean markets compared to Brazil. The survey highlights a growing divide between immediate financial pressures and long-term optimism for farmland values. Respondents cited alternative investments, inflation, and interest rates as key factors influencing land value expectations.
Topics: agricultural economy farm financial performance farmland values input costs