Market Pulse
Week of September 21, 2026
⛽ Diesel | 🚨 Biggest Cost Concern
Diesel is the biggest cost story this week. The U.S. average has climbed to approximately $6.53 per gallon, with Midwest prices even higher.
The sharp increase comes as farmers head into harvest, putting additional pressure on farm operating costs, transportation and manufacturing expenses. Continued tightness in global diesel supplies is also adding pressure to the market.
For equipment manufacturers and dealers, higher diesel costs are important to watch because they can affect everything from freight and production costs to farmers’ operating margins and equipment purchasing decisions.
🔩 Steel | ⬆️ Rising Input Costs
U.S. hot-rolled coil prices are holding near $1,240 per short ton, with spot prices continuing to move higher in September. Nucor recently raised its HRC spot offer to $1,210 per ton, adding to cost pressure for manufacturers that rely heavily on steel for equipment and components.
Together, diesel and steel are creating two significant input-cost pressures for manufacturers right now.
🌱 Soybeans | ➡️ Holding Firm
November soybeans settled around $13.18 per bushel on September 23, with prices pulling back slightly as harvest progresses. USDA reported that 12% of the soybean crop had been harvested as of September 20, ahead of the five-year average of 8%.
Soybean prices are also worth watching as a potential indicator for equipment demand. In a recent Germinate Podcast discussion, Stantec economists Jeremy Bess and Patrick Luce noted that soybean prices can provide a one- to two-quarter lead on farm equipment manufacturing.
🌽 Corn | ⬇️ Lower
December corn settled around $5.29 per bushel on September 23, as harvest pressure weighs on the market. USDA reported that 13% of the U.S. corn crop had been harvested as of September 20, ahead of the five-year average of 11%.
🚜 What Manufacturers Should Watch
With diesel and steel costs rising, manufacturers and dealers should keep a close eye on their own business indicators, including bookings, billings and backlog.
Commodity prices can provide an early signal of where farm equipment demand may be headed, while fuel and material costs can have a more immediate impact on margins and operating expenses.
🎧 Want the Bigger Economic Picture?
Listen to the Germinate Podcast conversation with Stantec economists Jeremy Bess and Patrick Luce for a deeper look at interest rates, commodity prices, economic growth, ag, and what businesses should be watching as they head towards 2027. Listen to the full podcast on YouTube