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AFT Applauds Passage of New House Relief Bill

By Tim Fink
 
American Farmland Trust applauds the passage of a new COVID relief bill by the House of Representatives today. This legislation comes at a time when many Americans, including farmers and ranchers, continue to struggle in the face of the ongoing pandemic. The funding provided to USDA through this legislation will not only serve as vital relief, it will help lay the groundwork for a more resilient food system.  
 
AFT is especially pleased with the historic and unprecedented support provided for socially disadvantaged farmers within the legislation. USDA’s history of discrimination is well–documented and inclusion of loan forgiveness marks a key step in addressing a historic wrong. We especially appreciate that the legislation includes funding for the additional tools these farmers need for success, including legal services to work through heirs’ property issues, financial training, and other technical assistance. The legislation also recognizes opportunities to further diversify agriculture, providing pilot projects for land access as well as support for research and scholarships that will produce the next generation of agricultural innovators. 
 
As an organization, we have called for additional federal support for state and local governments. With offices across the nation, we have seen firsthand how state and local budget shortfalls are threatening to eliminate or reduce critical agricultural programs such as Farmlinks, purchase of agricultural conservation easement (PACE) programs, and support for conservation practices that sequester carbon and improve water quality.
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U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again

Video: U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again


The market was hoping for a US-China trade deal, but we got a trade “truce” for now from the keenly awaited Trump-Xi meeting at the APEC Summit.
China commits to minimum purchase commitments of 12 MMT of U.S. soybeans during the “current season” and a minimum of 25 MMT annually through 2028.
U.S. Treasury Sec Bessent said other Asian countries have agreed to buy additional 19 MMT of US soybean.
Soybean futures trading above $11 now- they normally tend to rally to $12.
As expected, US Fed cuts interest rates by -0.25% again in October to 3.75%–4.00%. No further cuts promised for this year but trade looking out to the Dec FOMC.
The Bank of Canada cut interest rates to 2.25% but raised concern over trade war damage.
Soy meal futures, remarkably, have had 14 consecutive higher close sessions. A bull market in soybeans is a bull market in soy meal!
Cattle futures lower as funds unwind out of cattle for now due to Trump headlines and objective to lower beef prices.
All major stock indices climb to new record highs. It was Mag 7 reporting week, which had mixed results. But we now have the first $5 trillion company in Nvidia!