Valley Ag Loans, Inc.

Farm Loan Industry Updates

May 26, 2021

Shorter term Interest rates have risen a bit while longer term rates have come down a bit over the past five weeks.  The 10-year Treasury Note has continued to soften just a bit after hitting 1.62% at the beginning of June and ending yesterday at 1.45%.  Rates are still under 1.00% out to five years. The yield curve continues to flatten with the spread between three month T-bills and 10 year bonds now at 143 basis points.  The Fed still tells us that rates will stay low but now seems to be leaning towards a 2023 increase although with recent inflation numbers they may be forced to act sooner.

The dollar is stronger against most world currencies with the notable exception of the Chinese yuan.

Contact us today to get current rates and terms!