The Index of Current Conditions saw the biggest boost, soaring 38 points to a reading of 153 in November, while the Index of Future Expectations rose modestly, up 7 points to a reading of 153, as more producers believe that current and future economic conditions will continue to improve.

The barometer is based on a mid-month survey of 400 U.S. crop and livestock producers.

Except in the northern Corn Belt, farmers were wrapping up harvest in November, and yields for many farmers were better than expected, which helped boost sentiment, as did optimism that the trade dispute may soon be settled. Meanwhile, cattle prices also rallied since early fall, which bolstered optimism among cattle ranchers and feeders.

Producers’ positivity toward making farm capital investments also improved in November. The Farm Capital Investment Index rose to a reading of 71 in November, its highest since February 2018 and 12 points above October.

This month’s rise in the investment index coincided with a sharp increase in the Current Conditions Index, suggesting that, as producers’ perspectives regarding their farm’s current situation improved, they were more favorably inclined toward making big purchases.

Confidence in a quick resolution to the U.S. and China trade dispute increased to its highest point since the question was first posed in March. In November, 57 percent of respondents stated they expect a resolution to the trade dispute soon. As recently as August, only 29 percent had expected a quick resolution.

The percentage of producers who expect the dispute to be resolved in a way that favors U.S. agriculture also climbed. In November, 80 percent of respondents said they expected a beneficial outcome to the trade dispute with China, up from 75 percent in October.

The November farm equipment-sales index declined to 37.5 from October’s 39.7.

Borrowing by farmers weakened for November. The borrowing index dipped to 51.4 from October’s strong 68.9 and last November’s 60.1.

Over the past 12 months, the Rural Mainstreet economy added jobs at a 0.9 percent pace, which is below the pace of urban area growth of 1.1 percent for the same period. Rural areas of two Mainstreet states, Missouri and Nebraska, lost jobs over the past 12 months.

The confidence index, which reflects bank CEO expectations for the economy six months out, improved to 44.4 from October’s 36.5.

“The trade war with China and the lack of passage of the USMCA are driving confidence and the economic outlook lower for most areas of the region,” said Ernie Goss, Ph.D., chair of regional economics at Creighton University.

Each month, community bank presidents and CEOs in nonurban agriculturally and energy-dependent portions of a 10-state area are surveyed regarding current economic conditions in their communities and their projected economic outlooks six months down the road.

Bankers from Colorado, Illinois, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota and Wyoming are included.