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Soyabean basis bids were steady to higher in the US Midwest interior early Monday, and corn basis levels were steady to mixed, as farmer selling remained extremely slow, merchandisers said. Producers were firmly focused on planting corn as nearly summer-like weather conditions over much of the region promised plenty of opportunity for fieldwork. "Oh yeah, things are really starting to move," said a merchandiser in Ohio.
Weekend rain was keeping farmers out of the fields in some parts of the western Midwest, but rainfall in other western areas was not heavy enough to prompt significant delays, merchandisers said.
Some soya processors firmed their soyabean bids in an attempt to pull in fresh supplies. Corn bids weakened slightly in some Iowa locations, but other points were steady to slightly higher.
"It's the lack of movement more than anything," said an Indiana merchandiser about his firm corn bid.
After some weekend rain, dry conditions should prevail through Tuesday across the Midwest, according to weather service Meteorlogix.
Scattered showers and thunderstorms on Wednesday were expected to yield to dry conditions on Thursday, and light showers were possible on Friday, it said.
Corn and soyabean futures were expected to open lower at the Chicago Board of Trade. Pit brokers said corn futures could be 1/2 to 2 cents per bushel lower on the open amid excellent early crop prospects, and soyabean futures were called 2 to 5 cents per bushel lower amid strong global supplies, weak export demand and good US crop weather.
Traders said they expect CBOT soft red winter wheat futures to open 1 to 2 cents per bushel lower after Egypt bought mostly French and Russian wheat in a tender over the weekend.

Copyright Reuters, 2005

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