What is in this article?:
- Rural Economy Healthy, But Farmland Price Growth Slows
- State-by-state outlook
The monthly Rural Mainstreet Index indicates the rural economy continues to expand.
Each month, community bank presidents and CEOs in nonurban, ag- 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.
This survey represents an early snapshot of the economy of rural, ag- and energy-dependent portions of the nation. RMI is a unique index covering 10 regional states, focusing on 200 rural communities with an average population of 1,300. It gives the most current real-time analysis of the rural economy.
Colorado: Colorado’s RMI remained above 50.0 for the eighth straight month, though it declined to a still healthy 59.2 from April’s 73.1. The FPI and ranchland price index (RPI) sank to a strong 80.8 from April’s 83.0. Colorado’s NHI for May expanded to 72.5 from April’s 68.8.
Illinois: RMI declined in May but remained above growth neutral for the eighth consecutive month. The index declined to 55.9 from April’s 56.7. FPI sank to 52.1 from April’s much stronger 63.0, while the state’s NHI decreased to 53.4 from 55.5 in April.
Iowa: RMI dipped to 58.1 from April’s 62.3, while FPI sank to 60.7 from 70.0 in April. NHI for May weakened slightly to 59.1 from 60.2 in March.
Kansas: RMI for May decreased to 61.5 from 61.8 in April, and FPI plummeted to 53.6 from April’s much stronger 65.5. NHI declined to 54.4 from 56.6 in April. However, bankers are concerned about recent strong growth. Dale Bradley, CEO of The Citizens State Bank in Miltonvale, says, “The economy is still not stable, and the ups and downs will affect farmers as well.”
Minnesota: RMI advanced to 67.2 from 66.7 in April, while FPI sank to 65.7 from April’s 67.1, and NHI advanced to 62.5 from 61.5 in April.
Missouri: RMI climbed to 77.0 from April’s 71.7, while FPI expanded to 72.1 from 70.8 in April. NHI rose to 66.7 from April’s 60.7.
Nebraska: After moving below growth neutral for January, RMI has now moved above growth neutral for four straight months. May RMI expanded slightly to 57.7 from 57.3 in April, and FPI sank to 53.9 from April’s 65.4.
North Dakota: RMI advanced to a regional high of 83.7 from 78.8 in April, while FPI climbed to 85.3 from April’s 75.6, and NHI increased to 83.6 from 61.2 in April.
South Dakota: RMI increased to 60.3 from 57.2 in April, and FPI slumped to 56.6 from April’s 67.4. NHI expanded to 56.3 in May from April’s 55.4.
Wyoming: RMI dipped to 54.4 from 55.1 in April. FPI and RPI fell to 46.2 from April’s 58.0, while NHI sank to 49.4 from 53.2 in April.
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