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Interest rates loom over tight margin environment

High interest rates continue to loom over farmers dealing with tight crop margins.

Compeer Financial ag economist Megan Roberts says working at a financial institution, the number growers ask about the most is not grain related.

“It is interest rate-related, and that seems to be a pretty hot topic not just within agriculture but across all industries. What’s going to happen with interest rates?”

She tells Brownfield the Federal Reserve is keeping a close eye on inflation and unemployment figures.

“And those things point to probably not a lot of movement with the Federal Fund’s target rate.”

She says if the Fed doesn’t cut interest rates the rest of the year, it will impact farmer decisions on land and equipment purchases as well as operating notes for 2026.

Roberts made these comments during an upcoming client partnership podcast between Brownfield and Compeer Financial.