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sc Washington | It is interesting to me that you posted this. I don't pretend to understand half of what you guys talk about. That being said. I sell equipment for a dealer. I was working on a deal and wanted to see if I could get a rate concession on the deal. I called my diversified rep. He laughed at me and told me I should get any finance deals done before December 1. Rates will go up. That kicked off a long discussion the bottom line of which was that they get their money based off short term T-bills. Their borrowing costs have went up 60 basis points between October November. They did not move because Ag Direct didn't. It looks like both of them made a mistake. They will probably only go up a quarter point because they don't think the market will handle a half point. They meaning diversified. Don't know about ag direct. I had wondered why even the manufacturers low rates had changed. Now I know. I thanked him for the good news and killing a few more December deals! My belief is that thing are going to be very tough for the next year. Regardless of what Trump does or anything else. We have dug ourselves a huge hole and it will take a while to back fill it. In our area only 2 things made money. Onions and cattle. The hay market is a disaster, wheat and corn are below cost of production. Potatoes are a mess. It looks like Lamb Weston is on the brink of bankruptcy. Grass seed and even alfalfa seed are in the dump. Yes equipment will still get sold. It is just going to be hard for a year or 2. I hope most guys have put some of the windfall from the last few years aside. | |
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Re: Grain prices; No bull****
