Valley Ag Loans, Inc.

Farm Loan Industry Updates

August 27, 2020

Treasury Note rates continued to hover near zero and rates out to seven years are .50% or less. The ten year note has been moving between .52 and .72%.  It closed yesterday at .69%, which is up 10 basis points over the past month. On January 2 of this year the 10 year rate was 1.88% and one year ago it was 2.08.  The yield curve has steepened slightly but is still basically flat with the spread today between three month T-bills and 10 year bonds at 58 basis points.

The prime rate is still at 3.25%.  If you have ANYTHING at Prime or Prime Plus a spread or have a variable rate loan you should consider a refi.

The dollar continues to move lower against other major currencies, a trend that began around March.

Contact us today to get current rates and terms!