US FOB corn and soyabean export premiums were steady to lower on Thursday following a retreat in prices in the interior barge market, traders said. Basis offers also were pressured by soyabean futures at the Chicago Board of Trade closing higher for the third day in a row and corn futures rising for a second day.
Despite rallies in corn and soyabean futures, grain importers remained nervous that prices could fall further. US stocks have fallen for seven straight session and hit new lows on Thursday not seen since 2003. Oil fell below $85 for the first time in almost a year. US corn facing stiff competition from Brazil. US wheat more expensive than European and Black Sea supplies.
Only US soyabeans competitive in the world market, traders said. US corn export sales last week topped 950,000 tonnes - an eight-week high and have risen steadily the past four weeks. Total sales in the marketing year that began September 1 are down 40 percent from last year.
US soyabean export sales were 600,000 tonnes and have ranged between 400,000 and 600,000 tonnes for the past month. Soyabean export sales 4 percent head of last year's pace, helped by futures prices falling 20 percent this year and freight rates falling to a 28-month low. Argentine soya market resumes trading after a six-day strike by farmers.
China buying few cargoes of soyabeans from either the United States or South America. US wheat export sales last week were 500,000 tonnes, including a cargo to Iran, which has bought nearly 1.4 million tonnes of US wheat in the marketing year that started June 1. Total wheat exports down 40 percent from last year, with higher protein wheats such as durum and spring wheat especially hard hit.
Jordan bought 150,000 tonnes of Russian wheat and Bangladesh bought 100,000 tonnes of Black Sea wheat. Tunisia bought 92,000 tonnes of optional-origin soft wheat, 50,000 tonnes of durum and 50,000 tonnes of feed barley. Saudi Arabia turns wheat importer and buys 300,000 tonnes.
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