The Consumer Price Index rose 6.4 percent over the past year. “That tells me the Fed is going to continue to raise interest rates, but probably by a quarter percent rather than 50 basis points,” said Dr. David Kohl, professor emeritus, Virginia Tech. “That also tells me food inflation is still very, very prevalent.” The Red River Farm Network sat down with Kohl for an interview after his presentation at the Northern Corn and Soybean Expo. Kohl cited the University of Minnesota Center for Farm Financial Management FINBIN database and said even the bottom 20 percent of farmers are making money. “Every time we see that bottom 20 percent making money, you’ll have problems in the industry within two or three years because it brings in the inefficient. What is scary this time is a lot of that profit is government money and that won’t be reoccurring.”
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