A monthly index tracking the economy in rural areas of Colorado and nine other states remained in negative territory for a sixth straight month.

The overall reading for the Rural Mainstreet Index fell 1.9 points in February. At 46.2, the latest reading remains below growth-neutral 50.

The overall reading for Colorado fell 3.7 points, but at 70 was the highest among the 10 states. Overall readings decreased in six of the nine other states and increased in three.

“Higher interest rates, weaker agriculture commodity prices and a credit squeeze are having a significant and negative impact on rural main street businesses and on rural main street farmers,” said Ernie Goss, an economics professor at Creighton University in Omaha, Neb., who compiles the Rural Mainstreet Index. He bases the index on the results of monthly surveys of bank executives in rural areas of the 10-state region.

In Colorado, the new hiring component of the index fell nine-tenths of a point to 56.6 and the farm and ranch land price component dropped 6.4 points to 63.3.

Goss said the exports of agricultural goods and livestock from Colorado totaled $224 million in 2023, almost double that for 2022.

Across the region, a component of the index tracking confidence rose 1.9 points, but at 40.4 reflected pessimistic outlooks about economic growth over the next six months, Goss said.

A new hiring component fell a point to 49 as most banks reported no changes in hiring from January, he said.

The home component dropped 2.6 points to 35.4 as higher interest rates on mortgages and lower inventories curbed home sales Goss said. The retail sales component fell two points to 44 as higher interest rates and consumer debt slowed sales, he said.

The loan volume component fell 5.9 points, but was higher at 66. Readings for checking deposits and certificates of deposit also fell.

The component for farming and ranching land prices  decreased 6.3 points, but at 57.7 still signaled slow growth in prices, Goss said.

The component for farm equipment sales rose 1.6 points, but at 49.5 remained below growth-neutral 50 for the eighth time in the last nine months.