Banks focusing on agriculture loans are reporting higher profits recently.
Researchers at the University of Illinois crunched the numbers and found that ag banks on average have a return on assets at 1.07 percent, which is compared to non-ag banks at 1.03 percent.
They also found ag banks are more efficient, too, with the efficiency ratio up several points during the fourth quarter.
Related Stories
Persistently low Mississippi River levels are turning logistics challenges into pricing risks — tightening margins for grain producers and exporters across the heartland.
A rescheduled WASDE, China’s soybean squeeze, barge bottlenecks, and premium beef demand all collide this week — with cash decisions, basis, and risk plans on the line.
America’s love for burgers depends on open markets. Without lean beef imports, prices would skyrocket, crushing demand and destabilizing the beef industry.
High milk production and soft retail demand are squeezing prices and margins — making careful feed and risk management essential through year-end.
Market analyst and friend of the show, Shawn Hackett, says Brazil’s shifting use of crops for biofuel production is a significant factor.
Texas A&M livestock economist Dr. David Anderson joins Tony St. James to discuss the geopolitical tensions and U.S.-Mexico border closure that are leading to sharp swings in the cattle market.