Low commodities prices fuel pessimism in CU economist's survey of rural bankers

Rural bankers in states Nebraska, Iowa and surrounding states haven’t felt this sour since the economy was in the throes of the recession.  Creighton economist Ernie Goss said bankers’ dread is being fueled by low commodities prices and is further exacerbated by the ripple effects being felt in rural economies.  Accordingly, the Creighton University Rural Mainstreet Index fell again in October. With a reading of 31.8, down from 37.3 in September and 44.4 a year ago, the latest survey registered well below 50, the level at which growth is treading water; readings over 50 indicate growth.  The survey of rural lenders in 10 states shows their sentiment on economic conditions fell to a low in October that hasn’t been registered since April 2009. This is the 14th-consecutive month in which the rural economic barometer has indicated decline instead of growth. Bankers in Colorado, Illinois, Iowa, Kansas, Minnesota, Missouri, Nebraska, North Dakota, South Dakota and Wyoming are polled for the index.