New Tractor Sales Are Declining

[ultrarunner]

Not credit offers but mailbox full of CD offers and Bank calling to offer special offers not advertised on new CD…

Last year they could not be bothered and pulled all but minimal to Credit Union at 5x the interest.

 

[WM75Guy]

Stopped by our new NH/Deutz-Fahr/Kioti dealer's new location on SE Loop 7 in Athens yesterday. Lots of inventory, especially NH. Parts and service are still getting established from the move from the old location. Scored a new Deutz-Fahr hat. Mobile service truck is coming out Friday to do some service work on my WM75.

 

[Tinhack]

Not credit offers but mailbox full of CD offers and Bank calling to offer special offers not advertised on new CD…

Last year they could not be bothered and pulled all but minimal to Credit Union at 5x the interest.

Oh yeah, that too. I forgot about that. They're trying anything to boost assets right now--So that when they fail, their savior can see all the "assets" they have. (And the management can cash-out.)

 

[2manyrocks]

The banks haven't had to pay depositors any real interest since 2008. Nothing but a gravy train of endless free money for them for so long.

 

[5030]

Speaking of credit card offers and balance transfers, I get them constantly and they all get deleted. Just got one from of all outfits, Credit Karma. They want me to enroll in their 'savings' program. Paying a whopping 4% which is worthless to me. That got deleted too. Our credit score is almost at the maximum because everything gets paid on time and the CC balance gets paid off every month. We aren't hurting and our debt ratio remains low.

Having said that, everything that we consume has gone way up so spendable income decreases. Not an issue here...yet.

I won't be buying any big ticket items for a while and I feel for those people who overpaid for a new vehicle or are carrying a huge mortgage on a new home. Gonna be a lot of repossessions soon.

Just bought a new stump grinder and paid cash for it.

Thank the Lord we have a good retirement and supplemental income from the rentals. I suspect my renters will be living in my houses a long time because none of them can afford the mandatory 20% down payment required to finance a new home on a conventional loan. I'm sure they would like to own their own digs but it's not happening and I keep my rents reasonable too.

Gonna be an interesting year for hay sales. I've already talked to my one customer and he still wants it all and I told him the price per round will increase and he's good with it. He is, after all, in the cattle business.

Money is getting more worth less every day. Fuel prices are climbing, food prices are climbing and the folks in DC seem to care less.

I'm concerned the 'bubble' is about to burst and those people who are over extended will be holding the bag.

Don't plan on being one of them and I'm not selling my Rolex either...lol

 

[Tinhack]

Gonna be an interesting year for hay sales. I've already talked to my one customer and he still wants it all and I told him the price per round will increase and he's good with it. He is, after all, in the cattle business.

Yep, that just means meat will go up again. I guess I'll have to cut back on my steaks. The thing is hamburger has been the same price as steak for some time now around here. At least for the 95% ground sirloin. I don't buy the "other stuff". I can spread a package out for several meals is the only gain. Ham is out of sight and pre-cooked frozen chicken is $10 a pound.

 

[jyoutz]

Have you guys been getting all the credit card offers lately? That or they're pushing balance transfers like there's no tomorrow. Perhaps there isn't. I think the only way banks will survive is having "debt assets" on the books. I can't see any other reason for the heavy push to buy something. The third major bank just crashed and burned. JPM took over but that can't go on forever. I think there's more to come.

Prices are just too high right now. The dollar is falling faster than a rock. The budget everyone on capitol hill is fighting over just proves failure is near. The next recession is just around the corner. Unless your income is flexible to the high side, I wouldn't be buying anything right now. Those of us on fixed income can't afford to buy anything but the credit providers are hungry to sell.

I've been wanting to buy a ditch/bank mower but those have gone up over 30-40% since the beginning of the year. That's outrageous! They haven't improved 30-40%. I'm holding on to my cash for now.

I have been getting those credit card offers in the mail weekly for 20 years.

 

[jyoutz]

Not credit offers but mailbox full of CD offers and Bank calling to offer special offers not advertised on new CD…

Last year they could not be bothered and pulled all but minimal to Credit Union at 5x the interest.

CDs? I haven’t heard of those since the 90s.

 

[5030]

My wife just paid $1.49 a pound for frozen drumsticks and thighs which is a heck of a price today and our deep freezers are both full with beef from the guy that buys all my hay, all I had to do was pay the processing fee, we got a full side of Angus this year. I give him a good price on hay and he reciprocates and we are good with that. I have not only beef in the freezers but Elk and bear as well. You can cut his Angus beef steaks with a fork btw.

No issue with eating here, besides, everything we grow in the garden either gets frozen or go's in the root cellar or is canned. My wife is a dedicated canner.

 

[5030]

I have been getting those credit card offers in the mail weekly for 20 years.

Been increasing lately. Far as CD's go, Certificate of Deposit, not platters...lol

 

[Tinhack]

CDs? I haven’t heard of those since the 90s.

Yeah, that's Certificates of Deposit not Compact Disks. Although I do still have those too.

 

[rScotty]

I'm thinking that recessions are turned around by people fixing up old things and generally taking the effort to do things for themselves so that they spend less money instead of more.

This spring a neighbor who is always complaining about politics, groceries, gas, and prices hired a company to build him a shed and paint his deck while he watched from a lawn chair. My friend's 12 year old summed it up pretty well when she said, "That's weird."

Yep, sure is.
rScotty

 

[Muhammad]

Under 40 hp tractor sales down 14% vs March 2023, all ag tractors down 12% and YTD down 15% according to AEM.

$100k trucks? $8/lb for chicken? There are always ways to make more prudent financial choices. If you can't afford to keep up with inflation, you have to modify your habits.

I can buy chicken in bulk at Costco business center for under $2/lb vs $5-$6/lb at most grocery stores.

I can keep my old car on the road for $1500/year in maintenance vs buying a new one for $8000/year in payments.

That top 15% of tractor sales may be the "discretionary" ...

We will also see the "value" option tractors get more looks when the fists grip the cash a little tighter.

 

[2manyrocks]

I'm thinking that recessions are turned around by people fixing up old things and generally taking the effort to do things for themselves so that they spend less money instead of more.

This spring a neighbor who is always complaining about politics, groceries, gas, and prices hired a company to build him a shed and paint his deck while he watched from a lawn chair. My friend's 12 year old summed it up pretty well when she said, "That's weird."

Yep, sure is.
rScotty

All about personal convenience. Just like the home improvement shows where the hosts ask: how much is your budget? answer: $200,000. Magically, all of the $200,000 gets spent on making things pretty. The homeowners don't do any of the work. The hosts only do a little for show. Most of the work gets done by contractors behind the scenes.

 

[lman]

Under 40 hp tractor sales down 14% vs March 2023, all ag tractors down 12% and YTD down 15% according to AEM.

$100k trucks? $8/lb for chicken? There are always ways to make more prudent financial choices. If you can't afford to keep up with inflation, you have to modify your habits.

I can buy chicken in bulk at Costco business center for under $2/lb vs $5-$6/lb at most grocery stores.

I can keep my old car on the road for $1500/year in maintenance vs buying a new one for $8000/year in payments.

That top 15% of tractor sales may be the "discretionary" ...

We will also see the "value" option tractors get more looks when the fists grip the cash a little tighter.

You're shopping at the wrong grocery store.

 

[5030]

Under 40 hp tractor sales down 14% vs March 2023, all ag tractors down 12% and YTD down 15% according to AEM.

$100k trucks? $8/lb for chicken? There are always ways to make more prudent financial choices. If you can't afford to keep up with inflation, you have to modify your habits.

I can buy chicken in bulk at Costco business center for under $2/lb vs $5-$6/lb at most grocery stores.

I can keep my old car on the road for $1500/year in maintenance vs buying a new one for $8000/year in payments.

That top 15% of tractor sales may be the "discretionary" ...

We will also see the "value" option tractors get more looks when the fists grip the cash a little tighter.

Got you beat on the chicken and we have found out that not all chicken is created equal either. It depends on what they are fed how the end product tastes. The local Meijer's store has bland tasting chicken whereas Kroger chicken has a good flavor to the meat.

Far as vehicles go, we will never have a vehicle payment, like you we maintain our vehicles. Not about to pay 100K for any vehicle, not even 50K, not even 20K. Not worth it, besides we don't want to pay a finance charge.

We like not being on the hook for anything, farm is paid for as is 90% of the equipment. Rentals are very close to being paid off too and the interest rate is low (and a write off anyway).

 

[5030]

Just another reason why I'd NEVER buy a Tesla because I'd have to finance one and I don't do finance at all. I always wonder who in their right mind would pay 100 grand for a pickup truck that in reality is worth about 5 grand. Don't compute with me at all.

 

[TN8Man]

A $4.99 for a whole rotisserie chicken at Sam's club is 4 nights of meals for two people.

Today's Bank news: Shares in two regional US banks have been paused amid fresh concerns about the health of the financial sector in the wake of the rescue of First Republic.

PacWest Bancorp and Western Alliance Bancorp halted trading in their equities today after suffering share price falls of 24pc and 20pc respectively.

I'm thinking bank runs could breakout across the nation if this keeps up.

 

[Hay Dude]

A $4.99 for a whole rotisserie chicken at Sam's club is 4 nights of meals for two people.

Today's Bank news: Shares in two regional US banks have been paused amid fresh concerns about the health of the financial sector in the wake of the rescue of First Republic.

PacWest Bancorp and Western Alliance Bancorp halted trading in their equities today after suffering share price falls of 24pc and 20pc respectively.

I'm thinking bank runs could breakout across the nation if this keeps up.

IF it even gets reported. They are very careful who gets made to look bad.

 

[jyoutz]

Been increasing lately. Far as CD's go, Certificate of Deposit, not platters...lol

I know, but just haven’t heard of people doing certificates of deposit anymore.