Federal Reserve States Farmers Observed Good Harvest Conditions

While the harvest season is always important for farmers, the Federal Reserve also takes an interest in the fall harvest season when it’s Beige Book is released. According to the Fed, farm equipment users witnessed good conditions this season.
As a result, crop yields were expected to continue to be above-average in the vast majority of the Fed’s district. Even so, commodity prices have continued to strengthen as well, which has boosted confidence amongst farmers and spurred higher values of both farm equipment (new and used) and cropland.

The Fed also stated that corn farmers in the region were continuing to keep an eye on corn prices and adjusting their yields with the expectation that prices will increase even further in the coming months. A recent ban on exports from Russia has spiked grain prices and demand continues to escalate.