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.
Prepare for acute UAN risk and a brief urea shock; maintain steady ammonia and phosphate plans, and monitor potash basis on the coasts.
October 06, 2025 11:56 AM
·
Dave Kestel, a farmer from Will County and member of the Illinois Farm Bureau, joins us to share a boots-on-the-ground update on the 2025 corn harvest.
October 03, 2025 02:30 PM
·
University of Illinois Ag Economist Gary Schnitker says early projections indicate soybeans will be more profitable than corn in 2026.
October 03, 2025 11:53 AM
·
Farm CPA Paul Neiffer joins us to provide an updated analysis of projected ARC and PLC payments and potential delays due to the ongoing government shutdown.
October 03, 2025 11:02 AM
·
In a final rule published in the Federal Register, the Department states that it will no longer base wage rates on the Farm Labor Survey.
October 02, 2025 11:20 AM
·
The Senate failed to pass a continuing resolution that had been approved by the House the previous week. They could take it up again today, but it would take seven democrats to end the stalemate.
September 30, 2025 11:26 AM
·
Livestock and government payments provide a boost, but crop receipts and rising expenses keep pressure on margins. Strong financial planning remains key in a volatile environment.
September 30, 2025 10:45 AM
·
RFD-TV Farm Legal and Taxation expert, Roger McEowen, with the Washburn School of Law, joined us Monday to break down the changes and explain what producers should know.
September 29, 2025 01:57 PM
·
North Dakota Farmers Union (NDFU) President Mark Watne joined us Monday to share his perspective on the America First Trade Promotion Program and potential implications for producers.
September 29, 2025 01:38 PM
·
