Iowa’s rural mainstreet index improved slightly in April, increasing from 34.5 to 36.7 but remained below growth neutral for an eighth consecutive month.

The state’s farmland price index rose to 52.1 from 51.4 in March, and its new hiring index increased to 52.1 from 46.8.

Exports of agricultural goods and livestock for 2024 year to date were up 16.8% from the same period in 2023, according to trade data from the International Trade Association.

The 10-state region’s overall reading improved to 45.8 from March’s 38.0, which was its lowest level since June 2020. The index ranges from 0 to 100, with a reading of 50.0 representing growth neutral.

“Higher interest rates, weaker agriculture commodity prices and higher grain storage costs pushed the overall reading below growth neutral for the eighth straight month,” Ernie Goss, Creighton University’s chair in regional economics, said in a prepared statement.

Other regional findings from the report:

• The region’s farmland price index rose to 56.5 from 56.0. The index has remained above growth neutral for 53 consecutive months. “Creighton’s survey continues to point to solid, but slowing, growth in farmland prices for 2024,” Goss said. “Approximately 17.4% of bankers reported that farmland prices expanded from March levels.”
• The farm equipment sales index increased to 47.7 from March’s 30.4, which was the lowest reading since May 2020. “This is the 10th time in the past 11 months that the index has fallen below growth neutral,” Goss said. “Higher borrowing costs, tighter credit conditions and weaker grain prices are having a negative impact on the purchases of farm equipment.”
• The loan volume index soared to a record-high 85.4 from 79.2 in March; the checking deposit index sank to 52.2 from March’s 62.5; and the index for certificates of deposits and other savings instruments slipped to 71.7 from 72.9.  
• The new hiring index improved from 52.2 to 56.8. “Approximately 13.6% of bankers reported an increase in hiring over March levels,” Goss said. Over the past 12 months, the regional Rural Mainstreet Economy boosted jobs by 2.6%, compared to 0.9% for urban areas of the same states, according to U.S. Bureau of Labor Statistics data.
• The home sales index slumped to 34.8 from 41.7.
• The retail sales index for April rose to 41.3 from 39.6 in March.