Tim Schneider, the senior vice president of ag lending at Nicolet Bank, says the verdict is mixed. The sense is that the Federal Reserve won't be as aggressive in raising rates through the end of the year, but then it will stabilize. Some say inflation will be restrained and interest rates will fall in 2023. Either way, it's influencing purchasing habits. Schneider high construction costs coupled with high interest rates, had most farms pause on expansions. Better commodity prices have allowed farmers to replace equipment. Banks are sitting on ample liquidity thanks to the stimulus that the government put into the economy over the last few years. Risk standards have been tightened with the potential of a looming recession, he adds.