US Midwest corn and soyabean bids steady to firm

Spot basis bids for corn and soyabeans were steady to firm around the US Midwest on Thursday as dealers tried to boost supplies at processors and elevators. But farmers were reluctant to book sales of either commodity despite a futures market rally that pushed cash prices higher.
Variable crop conditions around the region have caused some farmers to be conservative about booking any new sales. "I think guys have sold what they want to have sold for now," a dealer in northern Ohio said. "Until they see their crop, we are kind of in that lull before harvest."
The US Agriculture Department said on Thursday morning that export sales of soyabeans were 316,800 tonnes (old crop and new crop combined) in the latest reporting week. Analysts had been expecting soyabean export sales between 300,000 tonnes and 500,000 tonnes.
Corn export sales were 793,400 tonnes (old crop and new crop combined), below estimates for 900,000 tonnes to 1.3 million tonnes. Export sales of wheat rose to a marketing year-high of 2.08 million tonnes (old crop only), well above forecasts for 950,000 tonnes to 1.1 million tonnes. Shipping costs were down on rivers around the region. The slow pace of farmer selling has left an ample supply of empty vessels on waterways.
Barges were bid at 410 percent of tariff on the Mississippi River at St. Louis, down from 425 percent of tariff on Wednesday. On the Illinois River, bids for barges were at 450 percent of tariff, a 10 percentage point drop from Wednesday. Bids for barges fell to 390 percent of tariff from 400 percent of tariff on the lower Ohio River.
At the Chicago Board of Trade, September corn futures rose 6 cents to $3.17-1/2 per bushel, supported by a rally in wheat futures. Traders said the corn market was technically oversold and due for a bounce. CBoT August soyabean futures closed 6-1/2 cents higher at $8.21-1/2 cents per bushel, also following wheat higher. September wheat futures rose 17 cents, a gain of 2.7 percent, to $6.51 per bushel due to strong export sales and crop damage in Europe.