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.
Pollination costs remain volatile, raising planning risk for specialty crop producers.
February 20, 2026 07:00 AM
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The USDA Agricultural Outlook Forum highlights modest price support from tighter supplies across cotton, grains, dairy, livestock, and sugar into 2026.
February 19, 2026 01:48 PM
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Small Business Administration Deputy Administrator Bill Briggs joined us with an update on how the SBA is working to support rural communities and small businesses across the country.
February 19, 2026 11:41 AM
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President Donald Trump signed an executive order this week to accelerate domestic production of phosphorus and glyphosate, signaling that farm input availability is now treated as a national security risk.
February 19, 2026 11:18 AM
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Smaller supplies could support cotton prices despite weak demand.
February 18, 2026 04:18 PM
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Federal aid helps, but producers will bear most of the losses. Balance sheets may look stable, but margins remain fragile without policy support.
February 18, 2026 01:49 PM
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