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.
In his latest Firm to Farm blog post, Roger McEowen discusses the new EPA/COE clarifications concerning WOTUS. The new measures have important implications for farmers, ranchers, and rural landowners.
March 17, 2025 01:02 PM
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Agricultural irrigation return flow exemption and “Maui factors” are the topics of today’s Firm to Farm blog post by RFD-TV ag tax and legal expert Roger McEowen with Kansas’ Washburn School of Law.
March 14, 2025 12:46 PM
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RFD-TV Ag Law & Tax Expert Roger McEowen outlines the top ten agricultural law and taxation topics from 2024 that will impact farmers and ranchers the most in 2025.
February 27, 2025 02:08 PM
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February 24, 2025 10:15 AM
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“Cautiously optimistic”
February 20, 2025 02:38 PM
February 20, 2025 10:55 AM
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February 13, 2025 03:33 PM
February 13, 2025 03:18 PM
“It really hamstrings our availability of financing to get loans when everything is costing 30-60% more.”
February 12, 2025 10:10 AM
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