For the ninth straight month, the overall Rural Mainstreet Index sank below growth neutral, according to the May survey of bank ceo’s in rural areas of a 10-state region dependent on agriculture and/or energy. The region’s overall reading for May fell to 44.2 from 45.8 in April. The index ranges between 0 and 100, with a reading of 50.0 representing growth neutral. Creighton University Economist Ernie Goss says higher interest rates, weaker agriculture commodity prices and higher grain storage costs pushed the overall reading below growth neutral for the ninth straight month.
The Kansas RMI for May sank to 35.4 from April’s 36.0. The state’s farmland price index slumped to 49.2 from 52.6 in April. The new hiring index for Kansas fell to 45.9 from 51.9 in April. According to trade data from the International Trade Association, exports of agriculture goods and livestock for 2024 year-to-date were up 3.7% from the same period in 2023.
