Spot basis bids for corn and soybeans fell along rivers in the US Midwest early on Thursday because rising futures prices have chilled demand from exporters, grain dealers said. Cash bids were mostly steady along the interior amid light corn sales in the country.
Most farmers were moving newly harvested grain into their storage bins and holding out for higher prices before booking new sales. Recent rallies in prices have made them bullish, dealers said. "Their patience is paying off so they are not excited about committing anything," a dealer in Indiana said.
Rainy weather has slowed the pace of harvest in much of the region, which contributed to the price rallies. Prices traditionally fall during harvest, as more grain becomes available on the market.
Some rain in areas west of the Mississippi River knocked farmers out of the field again on Thursday morning. Farmers in the eastern part of the region were expected to harvest as much as they could before forecasted showers arrived.
In export news, the US Agriculture Department said on Thursday weekly export sales of soybeans were 627,000 tonnes, down 28 percent from last week. Analysts were expecting soybean export sales between 600,000 tonnes and 800,000 tonnes.
Export sales of corn rose 28 percent to 1.05 million tonnes, slightly above market forecasts for 700,000 tonnes to 1 million tonnes. Wheat export sales rose 4 percent to 460,800 tonnes, in line with estimates for 300,000 tonnes to 500,000 tonnes.
At the Chicago Board of Trade, wheat futures were expected to open 5 cents to 8 cents per bushel lower, following through from the late break in prices on Wednesday. Traders said a profit-taking setback was likely.
CBOT corn was called 1 cent to 2 cents per bushel lower, pressured by the expected drop in wheat futures. CBOT soybeans were called 3 cents to 4 cents per bushel lower, weighed down by large stocks of soy and seasonal harvest pressure.
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