Our data allows us to take a very objective view of the current situation in the agricultural equipment markets and all are pointing toward a solid base building this year. There are concerns about the export markets from several perspectives.
There are definitely signs that there is some strength building into the tractor markets as the year continues to progress. Confidence on rural main street remains high even though the political in-fighting in Washington D.C. roils.
Here is Glass Management Group’s discussion and analysis of the farm equipment sales report issued by the Assn. of Equipment Manufacturers on April 10, 2017.
There is a renewed sense of confidence within the country these days and the latest jobs report certainly supports these sentiments. This latest report nearly doubled the projected increase in jobs for the month of February and showed an increase in full time positions for the first time in many months.
After the release of our 2017 forecast last November, we have received several communications from readers who seem to have the same question; “What planet are you from?” They did not agree with our forecast and, from the looks of things, they might be right!
This past year has been one of the most trying years in recent history for farm equipment manufacturers and dealers alike with precipitous declines in the large tractor markets and the combine market. If you were in an area where small horsepower tractors dominate, you have a bit of a smile on your face as this year draws to a close.
The On The Record newscast took the top spot this month, in which our editors settled some acquisition rumors surrounding Versatile, looked at the updated forecast for 2016 net cash farm income and net farm income, the challenges signal reliability pose toward the success of GPS and guidance systems, Deere’s 2016 fourth quarter results and Titan Machinery’s third quarter results for fiscal year 2017.
2016 is shaping up to be a difficult year but there are some bright spots shining through. U.S. farmers continue to exhibit some financial strength and that should allow them to take advantage of any future buying opportunities that might arise.
Supply and demand is alive and well in the U.S. agricultural economy. Harvest of U.S. crops has begun and brings with it a great expectation of a record yields. Like a huge seesaw, high demand for a commodity elevates the prices customers are willing to pay for that product and when there is an excess worldwide inventory, prices fall to meet the slowing demand.
Built on 90 years of expertise, Yetter Farm Equipment leads the agriculture industry in designing effective and innovative equipment for residue management, seedbed preparation, precision fertilizer placement, harvest attachments, strip-tillage, and more.
Montag is the industry’s innovative leader for precise, accurate metering of fertilizer, seed and other nutrients. The Montag system has become the standard for deep banding of fertilizer. Montag is also pioneering the technology for cover crop seed application. The new Cover Crop+ is able to meter the smallest seed, and can be mounted to tillage implements, combines, plus Hagie sprayers and detasselers.
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