The rally in crop prices in MY 2020/2021 coupled with government issued COVID relief payments has reduced the demand for commercial farm loans. The Kansas City Federal Reserve Bank last week released its survey data of farm lending for the first quarter; non-real estate farm loans by commercial banks were at its second lowest point in a decade and total non-real estate loans were the lowest in a decade.
Livestock loans have followed a slightly different pattern. The number of loans for feeding operations had already dropped in Q1 2020 and stayed at the same level in 2021. Other livestock operational loans are down with herd contraction. Though the value of the loans in Q1 2021 is $6.17 billion, down from $6.96 billion in Q1 2020, a...
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...
