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.
Tight supply and logistics issues may raise input costs.
April 20, 2026 08:00 AM
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Investment and access to capital remain critical for agriculture.
April 18, 2026 07:00 PM
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Roger McEowen of the Washburn School of Law discusses the lack of legal expertise in rural areas and a new program in Kansas aimed at addressing the issue.
April 17, 2026 05:00 PM
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Transporting pollinator colonies—primarily honey bee hives—is a major logistical operation in U.S. agriculture. Costs can vary widely depending on distance, fuel prices, labor, and timing.
April 17, 2026 04:50 PM
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Steven Snow with the U.S. Small Business Administration joined us to discuss tax relief for rural Americans and the long-term benefits of new provisions impacting farmers and small businesses.
April 17, 2026 12:46 PM
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As budget hearings continue on Capitol Hill, policymakers focus on long-term solutions to stabilize the fertilizer market to support U.S. farmers.
April 17, 2026 12:04 PM
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