Record Diesel Costs Sink Farmer Sentiment in Latest Ag Barometer
Agricultural economist Joana Colussi from Purdue University's Center for Commercial Agriculture reports a notable decline in farmer sentiment, driven by financial uncertainty and soaring fuel costs. The latest Purdue University/CME Group Ag Economy Barometer reveals growing pessimism among farmers about their financial prospects over the next year.
Colussi highlights that record-high diesel prices are a major concern, with the national average surpassing $6 per gallon in September 2026 for the first time. This surge in fuel costs is pressuring farm balance sheets just as corn and soybean prices began to recover.
She warns that input costs and profitability worries will likely continue to shape farmer sentiment well into early 2027. The Ag Economy Barometer, a monthly survey of 400 agricultural producers, serves as a key indicator of the health of the U.S. agricultural economy.
Colussi emphasizes that persistent challenges in agricultural production are contributing to the overall decline in optimism among farmers.