Improvement in Farmer Sentiment Carries into 2023

Following a sharp increase to close out 2022, the Purdue University/CME Group Ag Economy Barometer had only a modest increase in January. While optimism about the future improved slightly, most of the farmers responding to the telephone survey said margins will be tighter this than in 2022. Seventy percent of the farmers said they think now is a bad time to make large investments in their operation. Nearly 40 percent blamed high prices for farm machinery and new construction and 25 percent cited high interest rates. The report said more farmers expect farmland values to hold steady this year.