Expectations for farm income and loan repayment rates were lowest for areas and operations more concentrated in soybean, corn, hog and dairy production as uncertainties surrounding trade continued.

The number of bankers reporting third quarter declines was larger than 3 months ago and they expect farm income and expenditures to decline again in the fourth quarter.

Nathan Kauffman, vice president and Omaha Branch executive with the Federal Reserve Bank of Kansas City, says this is due to a number of reasons such as the gradual deterioration of ag credit conditions, intensifying trade disputes and low commodity prices. Kauffman dove deep into the numbers during a webinar presentation, hosted by Ag Equipment Intelligence. Kaufmann shared some key economic indicators for both the ag economy and the broader U.S. economy. The period of 2007-13 was definitely an economic low point for the aggregate economy, as consumer spending and the Federal Funds Rate (the interest rate banks lend to each other, as set by the Federal Reserve) declined during that period.