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Experts say 2026 financial outlook continues to evolve

A pair of ag finance experts say the current lending environment could play a role in shaping next year’s economic outlook.

Matt Eldridge with First Farmers Bank and Trust says the latest interest rate cut from the Federal Reserve could be an opportunity for farmers looking to refinance in 2026.

“The Fed signaled that in 26 they’re looking at one more rate cut,” he says. “We financed farm ground two years ago and we’re in a position now to start move that from 8 percent down to the low sixes. That’s worth a farmer’s time to do it.”

Todd Davis, Indiana Farm Bureau’s chief economist, says he expects corn and soybean prices to rally early next year.

“Corn has some headwinds because it was a large crop,” he says. “Soybeans stocks are actually relatively tight. If we had some resumption of exports, I could see the market providing a higher price and that could carry over into corn.”

Both experts say farmers are evaluating their financial decisions carefully as they prepare for the 2026 crop year.

Brownfield interviewed Eldridge and Davis during the 2025 Indiana Ag Gathering.

AUDIO: Matt Eldridge, First Farmers Bank and Trust

AUDIO: Todd Davis, Indiana Farm Bureau