The Ag Economy Barometer has found farmers were in a slightly better mood in October than September.
The monitor is a survey Purdue University conducts monthly of 400 farmers and measures their opinions about current and future financial conditions and investment plans.
This month’s report said there continues to be a big disparity between the views of crop and livestock farmers.
Overall, U.S. farmers expect weaker financial performance on their farms this year than last year, but crop producers expect weaker financial outcomes than a year ago, while livestock producers look for performance near a year earlier.
Although the percentage of producers who expect the U.S. tariff policy to strengthen the agricultural economy in the long run rose in October, the percentage who think the outcome is uncertain has doubled since spring.
Despite the uncertainty about tariff policy, more than 70 per cent of U.S. producers still say the U.S. is headed in the right direction.
In previous barometer surveys, producers overwhelmingly said they expect the government to provide compensation for weak commodity prices, similar to the 2019 Market Facilitation Program.
This month’s barometer survey asked producers how they plan to use a forthcoming subsidy and 53 per cent said they would pay down debt, 25 per cent said they would use it to strengthen their farm’s working capital, 12 per cent said they would buy farm machinery and 11 per cent would use it to cover family living expenses.