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<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "" The perspective is a little better than this one but that does not necessarily mean it's a positive prospect, "Kauffman told Yahoo Finance & nbsp;Moving."data-reactid =" 16 ">" The outlook is a little better than it was at the beginning of the year, but that does not necessarily mean it's a positive prospect, "Kauffman told Yahoo. !
Farmers face several problems beyond their control, including the US-China trade war, which could continue to drive down incomes.
<p class = "canvas-atom-text-canvas Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "The last & nbsp;Farm Credit Survey& nbsp; According to the Kansas City Fed, 40% of bankers say farm receipts declined in the second quarter, continuing the trend that Kauffman says has persisted for more than five years and may not improve. . "data-reactid =" 18 "> Kansas City Fed's latest farm credit survey indicates that 40% of bankers say farm income fell in the second quarter, continuing the trend that Kauffman says has persisted since more than five years and may not improve.
The floods, earlier this year, prevented the planting of crops such as corn and soybeans. "It was a wet spring in large parts of the country," said Kauffman. "Much of the corn and soybean acreage has probably not been planted, but it's hard to know exactly what it would look like," he said, until he that farmers start harvesting.
Harvest in progress
Farmer Tim Novotny of Wahoo shreds male corn plants in a seed corn field in Wahoo, Neb. (AP Photo / Nati Harnik)
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "The harvest is well advanced in the south, according to & nbsp;National Agricultural Statistics Service of the USDA but that's just beginning in the midwest. The question that farmers and investors are asking for is focused on crop yield. "Data-reactid =" 32 "> Harvests are rife in the south of the country, according to the USDA's National Agricultural Statistics Service, but are only just beginning in the Midwest – investors are asking to focus on the crop yield.
<p class = "web-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Production is expected to be down from the previous year. last year. & nbsp;The USDA says& nbsp; corn production will fall by 4% and soybean by 19% from 2018. This would generally help increase prices, but uncertainties about the harvest, which may be better than expected, help keep prices low. "data-reactid =" 33 "> Production is expected to decline from last year, according to the USDA, maize production would fall by 4% and soybeans by 19% from 2018. This would generally help prices rise, but uncertainties about the harvest could be better than expected, keeping prices low.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Teucrium Corn Fund & nbsp;(CORN)& nbsp; closed Tuesday down 1.6%, while soybean Teucrium & nbsp;(SOYB)& nbsp; was essentially flat. Soy farmers hard hit by the US trade war with China have been able to use government relief payments to stay in business, according to the Fed. Data-reactid = "34"> The Teucrium corn fund (CORN) fell 1.6% on Tuesday, while the Teucrium soybean was essentially flat. Soybean producers Teucrium Soybean The United States has been hard hit by the trade war between China and China, but they have been able to use the government's relief payments to stay in business, but the value of farmland also contributes to the survival of farmers.
"The value of farmland or the value of their real estate has held up pretty well. So, there have been some silver liners, but I would still say it's a relatively gloomy environment with still high risks, "he said.
Loan application
The Kansas City Fed survey found that demand for farm loans remains high, but bankers expect it to decline in the coming months. Seventy-five percent of these bankers also said they refused at least 1% of the borrowers' money they wanted to borrow.
Although this is an improvement over previous years, Kauffman said loan conditions were tight. "I think there is still a lot of concern about the cash flow in the agricultural sector, so some lenders are still taking a very cautious approach to credit."
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Adam Shapiro is co-presenter of Yahoo Finance On the Move."data-reactid =" 39 ">Adam Shapiro is co-presenter of Yahoo Finance On the Move.
<p class = "canvas-atom canvas-text Mb (1.0em) Mb (0) – sm Mt (0.8em) – sm" type = "text" content = "Read the latest financial and commercial news from Yahoo Finance"data-reactid =" 40 ">Read the latest financial and commercial news from Yahoo Finance
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