NASHVILLE, Tenn. (RFD-TV) — Small-business sentiment dipped in October, and the cracks show up first in ag towns. The National Federation of Independent Business (NFIB) Small Business Optimism Index eased to 98.2 (still a tick above its 52-year average). At the same time, uncertainty fell sharply — a reminder that sentiment is cooling even as owners gain a bit more clarity.
For rural America, where equipment dealers, feed suppliers, truckers, welders, and Main Street shops power farm country, softer sales and thin margins are tightening the screws on the services that producers rely on.
Under the hood, labor quality topped the worry list: 32 percent reported unfilled openings, and 27 percent named labor quality as their number-one problem —the highest since 2021. Sales momentum weakened (net −13 percent over three months) and profit trends deteriorated (net −25 percent), even as fewer firms raised prices (net 21 percent) and planned hikes eased. Capital outlays were anemic (23 percent of the plan’s six-month spending), borrowing slipped to 23 percent, and the average short-term loan rate hovered near 8.7 percent. Supply-chain pressure continued to ease, but it still affected 60 percent of firms.
For farm-adjacent businesses, that mix points to tighter staffing, cautious inventories, and selective investment — conditions that can lengthen repair queues, delay parts, and temper custom-work capacity. Producers may see steadier posted prices locally, but a thinner service bench and slower turnaround times as Main Street rides out slower sales and higher financing costs.
Farm-Level Takeaway: Rural businesses report softer sales, tougher hiring, and restrained investment — a backdrop that can pinch farm support capacity even if posted prices cool.
Tony St. James, RFD-TV Markets Specialist
Larger operations maintain cost advantages, while softer equipment sales suggest producers are pacing machinery upgrades amid tighter margins.
December 17, 2025 06:00 AM
·
Transportation access, legal disputes, and fertilizer freight costs will directly influence input pricing and grain movement in 2026.
December 16, 2025 01:37 PM
·
Analysts say that while low-income households are facing financial pressures, other middle- and higher-income consumers are helping fill the gap for retail beef demand.
December 16, 2025 12:44 PM
·
Corn and wheat exports remain supportive, but weaker soybean demand — especially from China — continues to pressure oilseed markets.
December 16, 2025 12:08 PM
·
Tim and Sharyn Abbott of the Music City Celebration Sale recap the weekend’s premier auction, which drew top dairy breeders and buyers to Nashville again this year from across North America.
December 16, 2025 11:54 AM
·
Fertilizer markets face uncertainty after President Trump raised the possibility of tariffs on Canadian imports, with analysts warning of supply and pricing risks. Josh Linville with StoneX provides a fertilizer industry outlook.
December 15, 2025 01:35 PM
·
Regional differences indicate that family ownership is universal, but farm structure and commodity mix determine the extent to which these operations drive agricultural output.
December 15, 2025 01:03 PM
·
A new study found that retaining the EPA’s half-RIN credit protects soybean demand, farm income, and crushing-sector strength while preserving biofuel market flexibility.
December 15, 2025 12:15 PM
·
The U.S. has a bountiful corn supply, but markets are waiting for the January WASDE Report, which will include updated yield estimates.
December 15, 2025 11:34 AM
·
