Overall, the Federal Reserve District Banks reported mixed agricultural conditions across the country in the Beige Book report. Higher crop prices have supported farmers and the agricultural sector. However, there are some challenges facing the industry. The Dallas Federal Reserve said drought conditions in its area have worsened. It reported higher feed costs with flat cattle prices meant some cattle herds were being culled. The Kansas City Federal Reserve also noted higher feed costs for livestock producers and food processing facilities. The Chicago Federal Reserve said farmland prices were higher due to increased investor interest.
Most of the districts noted greater volatility and uncertainty due to the global geopolitical issues. They also reported higher inputs costs and input availability issues.
