The agricultural economy in the Tenth District of the Kansas City Fed is facing challenges due to a decrease in commodity prices and higher production costs. Despite this, agricultural loan performance has remained steady, thanks to strong finances over the past two years. According to NAFB.com, credit conditions have softened slightly in areas heavily affected by drought, though less so in areas primarily concentrated in cattle production. Interestingly, despite the softening of farm finances and much higher interest rates, agricultural real estate values in the region have remained stable.
- Tue. Dec 5th, 2023
