NASHVILLE, TENN. (RFD NEWS) — Energy markets are sending conflicting signals to agriculture, with lower long-term fuel prices but continued short-term volatility in heating and fertilizer inputs.
The U.S. Energy Information Administration’s February Short-Term Energy Outlook (PDF Version) projects Brent crude oil averaging about $58 per barrel in 2026 and $53 in 2027 as global production continues to outpace demand and inventories build. Despite recent geopolitical disruptions, expanding output worldwide is expected to keep diesel and fuel costs generally softer over time.
Natural gas tells a different story in the near term. The Henry Hub price averaged $7.72 per MMBtu in January after winter weather tightened supplies. Storage levels are now projected to end winter about 8 percent lower than previously expected. Prices should moderate later as drilling increases, with averages near $4.30 this year and $4.40 in 2027.
U.S. natural gas production is forecast to grow 2 percent in 2026, while rising solar generation and modest coal use help meet expanding electricity demand from industry and data centers.
Lower propane prices are also expected as higher gas production boosts supply.
Lamb prices have seen a surprising surge driven by a tight supply and increasing demand in non-traditional markets.
September 23, 2025 12:40 PM
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According to the most recent version of the Household Food Security Report for 2022-2023, food insecurity is on the rise in the U.S.
September 22, 2025 01:49 PM
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Fewer cattle on feed suggest smaller slaughter numbers this winter, which could support strong prices if beef demand holds firm.
September 22, 2025 11:10 AM
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Dairy farmers are expected to face strong output and export gains, but lower prices and tighter margins will persist into next year.
September 22, 2025 10:52 AM
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The USDA NASS report also confirms lower August placements.
September 19, 2025 03:36 PM
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Ethanol producers face a widening opportunity window as aviation and marine fuel markets expand, with the potential to add billions in demand if policy and certification align.
September 19, 2025 02:42 PM
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Lawmakers and ag industry groups welcomed the confirmations, citing the direct impact of these leaders on western ranchers, water and land management, conservation programs, and regulatory reform.
September 19, 2025 01:21 PM
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All eyes will be on today’s Cattle on Feed Report, which analysts say could give a clearer picture of where the market goes next.
September 19, 2025 01:01 PM
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Sen. Roger Marshall, a founding member and chairman of the Make America Healthy Again caucus, joined us with his thoughts on the commission’s latest report and the key ag-related issues.
September 17, 2025 04:36 PM
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