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Tuesday, January 12, 2016

The Crop Surplus Is Bad News for America’s Farms - Bloomberg Business

The Crop Surplus Is Bad News for America’s Farms - Bloomberg Business: The American farm boom is all but over.
Farmland values are down from all-time highs. Global surpluses left corn and soybean prices below the cost of production. And the amount of agricultural debt relative to income ballooned to the highest in three decades, just as the Federal Reserve has begun raising interest rates for the first time since 2006.

Churchill: Veteran's lost farm part of national shame - Times Union

Churchill: Veteran's lost farm part of national shame - Times Union: This is the day Dave Lamouret has long dreaded. NBT Bank will auction off farmland that his family has owned for generations.
The financial troubles that ensnared Lamouret and led to the foreclosure of his land are not simple. But the essential and outrageous truth is this: If he hadn't served with the Army National Guard in Afghanistan, he wouldn't be losing his land.

Farmland prices holding up despite falling crop prices, Fed says

Farmland prices holding up despite falling crop prices, Fed says: A plunge in farmland values resembling the 1980s decline “remains unlikely,” with a shortage of acreage for sale helping to support prices, a Federal Reserve economist said Monday.

Nathan Kauffman, Omaha Branch executive with the Federal Reserve Bank of Kansas City, said despite the drop in prices for corn, soybeans and wheat,�land values�haven’t fallen as much because of low interest rates, limited supply�and generally�favorable balance sheets for many producers.

“There is just not a lot of land being sold. A lot of people are, I think, waiting to see how this plays out, waiting to see if and when things start to change,” Kauffman told farmers and ranchers at the American Farm Bureau Federation’s annual meeting.”‘Farmland prices have been pretty slow to adjust.”

Family dozes rough farmland into success | Local | ottawaherald.com

Family dozes rough farmland into success | Local | ottawaherald.com: When Ken and Susan Taylor bought farmland in Franklin County about four years ago, it was in bad shape. Thanks to the work they’ve done to it, the Taylors were awarded the Kansas Bankers Award for soil conservation in Franklin County.

“We bought (the Franklin County) farm about four years ago,” Ken Taylor said. “It needed a lot of work. We had the equipment to do it. We applied for cost-share and they didn’t have any that year, but I needed to get started. We went and built two waterways then just so it could get started. We moved rocks, took out some trees, cleaned up some fences, built I don’t know how many 1,000 feet of terraces.

What will the 2016 real estate market bring? - Luxury Daily - Commerce

What will the 2016 real estate market bring? - Luxury Daily - Commerce: While New York real estate boomed in 2015, the United States saw prices start to flatline in the second half of the year, possibly providing a preview for 2016.

While the demand for New York real estate will remain high for the foreseeable future, there are mixed signs as to what might happen with the country’s high-end market as a whole. Domestic and international economic factors will play a role in prices, while a growing millennial market could begin to impact what amenities are offered.

Unwanted Piles of Corn, Soy Spur Most-Bearish Crop Outlook Ever | Agweb.com

Unwanted Piles of Corn, Soy Spur Most-Bearish Crop Outlook Ever | Agweb.com: Piles of unwanted grain on farms near Doug Schmitz’s storage bins in southern Minnesota are a stark reminder of just how bearish the outlook is for�U.S.crop prices.

Wake Up Call Allendale Advisory Center

Wake Up Call Allendale Advisory Center: Grain markets are consolidating ahead of government reports. Crude oil slides below the close of Tuesday while stock indices focus on Chinese stocks.

Crude oil values fell to levels not seen since Dec of 2003 after breaking the 2009 low.

With the USDA reports only a few hours’ away, traders are making last minute adjustments. Trader's think the quarterly stocks number carries the most uncertainty as weather conditions and livestock numbers could have a big impact on 1st quarter usage. Outside market influences on grains will decline as we approach the 11:00 hour.