WASHINGTON, DC (RFD-TV) — The Federal Reserve lowered its benchmark interest rate by a quarter-point on September 17, the first cut of 2025. Chair Jerome Powell said the move was a “risk management” step to support the labor market while inflation remains above target. The Fed also raised its 2026 inflation outlook, signaling persistent cost pressures across the economy.
For agriculture, the modest cut should slightly reduce borrowing costs on operating loans, land notes, and equipment financing, giving some relief to producers under heavy debt loads. At the same time, input costs for fuel, fertilizer, and labor remain elevated, limiting overall margin gains. A softer U.S. dollar could lend support to farm exports, but trade demand remains the dominant driver for prices.
Tony’s Farm-Level Takeaway: The Fed’s rate cut offers limited relief for farm credit costs, but persistent inflation keeps input prices high. Farmers may find refinancing opportunities, though cash-flow discipline remains critical.
Farm CPA Paul Neiffer joined us on Friday’s
Market Day Report to break down what this extension means for affected ranchers.
September 26, 2025 02:03 PM
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Potash has seen the most significant decline, falling 11 percent over the same five-year period.
September 26, 2025 01:36 PM
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Secretary Rollins’ plan targets high costs, labor challenges, and export growth, delivering relief at home while building markets abroad.
September 26, 2025 10:18 AM
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Michigan corn farmer and NCGA Vice President-Elect Matt Frostic will lead the task force. He joined us on Thursday to share his insights on the escalating corn crisis.
September 25, 2025 01:46 PM
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As input costs continue to rise, diesel prices have held steady in recent weeks, according to energy analysts at GasBuddy.
September 25, 2025 12:02 PM
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Farm legal and taxation expert Roger McEowen explains the IRS’s shift to electronic payments and disbursements, and what it means for upcoming tax filings.
September 24, 2025 05:09 PM
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Estate tax relief reduces pressure, but succession planning remains the critical challenge for farm families.
September 24, 2025 04:57 PM
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Farmers should anticipate continued upward pressure on farm labor costs and monitor policy changes that may further impact hiring decisions.
September 24, 2025 01:01 PM
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U.S. produce growers face a structural disadvantage—cheaper imports driving down prices while rising labor costs squeeze margins. Without new policies or technology, profitability remains uncertain.
September 23, 2025 04:09 PM
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