U.S. Farmers See Policy Moving in Right Direction Despite Weaker Sentiment
06 August 2025, West Lafayette: U.S. farmer sentiment dipped again in July as the Purdue University/CME Group Ag Economy Barometer fell 11 points to 135. Both current conditions and future expectations weakened, with farmers expressing concerns over lower income prospects for 2025. The Farm Financial Performance Index dropped sharply, reflecting falling crop prices and expectations of reduced farm income.
Weaker income outlook also dampened capital investment and short-term farmland value expectations, though most farmers anticipate cash rental rates will remain steady in 2026. Confidence in U.S. farm programs and the upcoming farm bill appears to be helping support farmland values.
Notably, farmers expressed more optimism about agricultural trade. Forty-three percent expect U.S. exports to rise over the next five years, while 64% believe new foreign markets will open for American farm goods.
Despite concerns about income, nearly three-fourths of farmers surveyed said U.S. policy is headed “in the right direction,” highlighting a cautious but positive outlook on trade and farm policy.
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