US FOB corn and soyabean basis offers were mostly steady on Monday, with traders expecting export demand to pick up after a slump in CBOT futures. Hard and soft red winter wheat were steady, supported by slow movement but demand remained sluggish.
Traders said there was fresh demand in soyabeans, including from top buyer China, as CBOT futures tumbled amid prospects for a large crop in Brazil and amid profit taking. "They are buying everyday," a trader said, referring to China. "There are others looking as well."
CBOT January soyabeans fell 17-3/4 cents to $6.59-1/4 a bushel. January corn fell 11-1/4 cents to $3.62-3/4. Traders said there were enough soyabeans in the export pipeline to fill orders. "There's seems to be enough. You just have to pay up for them," the trader added.
Basis offers for corn were mostly steady, but there was a lack of export demand. "It's very quiet today," a trader said, adding that there was no interest from regular buyer Japan. But the traders were confident that demand will pick up following the sharp drop in CBOT futures.
There was talk of Egypt and Colombia looking for corn but deals could not be confirmed. CBOT corn fell due in part to talk that the government could relax penalties on taking land placed under the Conservation Reserve Program for planting crops like corn.
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