(Reuters) - Crop-withering drought is eating into U.S. farm income, slowing the rise in farmland values and raising the likelihood farmers will be borrowing more money in the third quarter, according to a Federal Reserve Bank report issued Wednesday.
Farmland values across an area of the U.S. Plains which includes Kansas, Oklahoma, Nebraska and parts of Missouri rose less than 3 percent during the second quarter, roughly half the rate of growth at the beginning of the year, according to the Federal Reserve Bank of Kansas City report.
(Reporting by Carey Gillam; Editing by Bernadette Baum)
