Energy Markets, Spring Planting Costs, and the Outlook for Rural Banks

In this episode of The Rural Banker, Dr. Ernie Goss reviews the latest Rural Mainstreet Index (RMI) and the economic pressures facing agricultural producers and rural lenders.Energy markets remain a key factor this month. Recent volatility in oil prices has raised concerns about input costs heading into the spring planting season, particularly for diesel and other fuel-intensive farm operations.Dr. Goss notes that while prices have moved sharply in recent weeks, he expects energy markets to eventually settle back toward more normal levels.The conversation also explores how global uncertainty is affecting rural economies, including the potential impact on commodity markets, export demand, and financing conditions for agricultural producers.Dr. Goss also discusses the outlook for community banks, noting that liquidity remains available but that broader financial conditions bear watching.One indicator he highlights in particular is the 10-Year U.S. Treasury yield, which he suggests rural lenders monitor closely as a signal for potential changes in economic momentum.Hosted by Andrew HooverProduced at Creighton University's Menard Institute for Economic Inquiry This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit erniegoss.substack.com