Jerry Gulke, president of the Gulke Group, says the action was disappointing and the losses the past seven to 10 days have cost farmers dearly. The markets are trying to determine how low prices have to go to get back lost demand, he adds.
Over the last four quarters, nearly 80% of non-real estate farm loans were booked with a variable rate. At the beginning of 2022, more than half of all loans had a rate less than 4.5%, now the median rate for new operating loans is 8.5%.
At the end of 2022, Congress elected to implement Secure 2.0, which made some changes to Secure 1.0 but also made many other changes that will affect farmers either now or in the future.
