Soybean basis bids continued to rise in the US Midwest on Monday and spot corn bids were steady to firmer, reflecting slow farmer sales, grain dealers said.
Farmers were selling small amounts of freshly harvested corn - but only what would not fit in storage bins or was previously contracted. Soyabean sales continued to dry up, dealers said.
"They've got them put away and are going to sit on them for a while," said a dealer in central Iowa of soyabean sales.
Farmers were looking for cash soyabean prices to hit $6 to $6.25 per bushel and corn prices to get above $2.
Delayed price basis bids for soft red winter wheat jumped 20 cents per bushel in the Cincinnati, Ohio, market because of higher CIF values at the US Gulf, dealers said.
A powerful tornado tore through southern Indiana and parts of Kentucky early on Sunday, killing at least 23 people and injuring more than 200, officials said.
Most fields in the area had already been harvested, resulting in little agricultural damage, although many homes were destroyed.
River basis bids for corn and soyabeans jumped on the Mississippi River at Dubuque, Iowa, mainly helped by barge freight falling last week, a dealer said.
Low water levels on the lower Mississippi River were hampering barge traffic, just as the United States ramps up its corn and soyabean exports after a bumper harvest, industry sources said.
Barges have reduced their drafts, the portion of the vessel below water, by 6 inches to 1 foot and were towing fewer barges behind each boat.
Traders were expecting barge freight either to rise or not fall any further.
Loan deficiency payments (LDPs) for corn were mostly steady to 1 cent per bushel higher on Monday. Corn LDPs reached record levels in some states last week but have declined and now range from 42 to 47 cents.
The US government offers LDPs to compensate for low cash prices. Farmers can claim LDPs without having immediately to sell their grain. Instead, they can store the crop and sell it later when prices rise in the cash market.
Traders continued to watch bird flu because a widespread outbreak could cut consumption of feed grains, especially corn and soyameal. The death of an Indonesian woman over the weekend brings the human death toll throughout Asia to 63. A human influenza pandemic could cost the world's richest nations $550 billion, the World Bank said.
Chicago Board of Trade soyabean futures were called to open 2 to 4 cents per bushel lower on continued pressure from a near-record US crop, traders said. The US Department of Agriculture will release its latest crop production estimates on Thursday morning.
CBOT corn was called to open steady to 1/2 cent lower on continued pressured from a near-record crop and large stocks of feed grain.
CBOT wheat was called to open 1/2 to 1 cent lower, pressured by quiet exports during the weekend and satisfactory crop conditions in the US winter wheat region.
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