Borrowing costs are at the top of farmers’ minds as they get ready to plant for the year.
Fed Chair Jerome Powell left interest rates unchanged last week. Economists say it is anyone’s guess where the year will go, but warn you need to be prepared.
“I wish we had a crystal ball to know what’s next, and I would say that what you don’t want to do is just cross your fingers and hope interest rates keep falling. Not doing anything is just as risky as taking an all-in position either way. So what we’ve seen a lot of people do is somewhere meet in the middle where they try to get to a risk rate neutral stance where half the debts floating, half the debts fixed. If rates go up, great, you have protection in place. If rates keep falling, great, half the debt keeps on floating down lower, too,” said Josh Cannington with StoneX.
Carrington says it is important to make use of market tools, like swap options, which could allow farmers to choose which risks they want to take.
Low farmer shares reflect deep consolidation across the food chain, keeping producer returns thin even as retail food prices remain high.
November 25, 2025 03:02 PM
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Strong yields and higher cattle prices helped stabilize conditions, but weak crop prices and rising carryover debt remain major challenges for Eleventh District farmers.
November 25, 2025 02:55 PM
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Jake Charleston, with Specialty Risk Insurance, joins us now for an industry update and advice for cattle producers as they consider options for managing the risks of a murky market.
November 25, 2025 01:26 PM
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The National Milk Producers Federation will launch a new advocacy campaign to secure a final vote, urging House lawmakers to approve the bill as soon as they return from the Thanksgiving recess.
November 25, 2025 01:09 PM
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Tyson’s Nebraska plant closure and falling Cattle on Feed numbers send cattle markets tumbling. Analysts warn of tighter supplies, weak margins, and rising global competition.
November 25, 2025 12:05 PM
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A regional snapshot of harvest pace, crop conditions, logistics, and livestock economics across U.S. agriculture, prepared by RFD-TV Markets Specialist Tony St. James, for the week of Monday, November 24, 2025.
November 24, 2025 02:56 PM
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