News
Federal Reserve sees concerns about farm finances
The Federal Reserve reports that farm finances continue to be a concern. The Fed’s Beige Book noted that 10 of the 12 districts reported slight or moderate growth in May 2024, while the other two saw no change in activity. Agricultural reports were mixed.
“Although drought conditions have improved in some districts, there are still concerns about farm finances and income,” the Beige Book states. “The overall outlook has become more pessimistic due to reports of increasing uncertainty and greater downside risks.”
In Atlanta’s Sixth District, agricultural conditions have weakened slightly.
Chicago’s Seventh District showed a slight increase in farm income during the reporting period.
Some contacts in the Ninth Ward of Minneapolis reported that some moderation in input costs was expected to benefit producer margins.
Agricultural economic conditions in the Tenth District, surrounding Kansas City, were milder in early May and agricultural finances tightened slightly.
Conditions were mixed in the Eleventh (Dallas) and Twelfth (San Francisco) Districts.