On-farm economic conditions deteriorate more than expected

Agricultural bankers reported that farm income had declined in the third quarter of 2018 and that farm household spending and capital expenditures remained below levels compared with a year ago, according to the latest Agricultural Finance Monitor published by the Federal Reserve Bank of St. Louis. The number of bankers reporting third-quarter declines was larger than three months ago and they expect farm income and expenditures to decline again in the fourth quarter.