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.
Agricultural law and taxation expert Roger McEowen discusses issues facing farmers and ranchers, like self-defense, Good Samaritan laws, preparing for the exit, and cleaning out fencerows.
August 27, 2024 09:07 AM
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When you work on your estate plan, RFD-TV’s farm legal and tax expert Roger McEowen recommends preparing a vital list of information for whoever will need it.
August 16, 2024 01:31 PM
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In today’s Firm to Farm blog post, RFD-TV ag law expert Roger McEowen briefly examines several of the issues that farmers and ranchers face.
August 08, 2024 12:24 PM
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When it comes to agricultural law and tax, educating yourself about potential issues and seeking legal and tax counsel is crucial for any agriculture business.
RFD-TV News contributor Roger McOwen covers important topics in ag law and taxation, including FBAR, Read Before Signing, Reporting 4-H Income, and Attorney-Client Privilege.
RFD-TV Agricultural Law & Taxation expert Roger McEowen discusses the Supreme Court’s recent repeal of the Chevron agreement and other current topics in ag law.
