US FOB Gulf corn and soyabean basis offers held steady on Monday, supported by tight loading capacity for December and strong export demand, traders said. Hard red winter wheat offers rose following a sharp drop in futures prices as grain followed outside markets such as crude oil lower.
Export demand remains steady and recent purchases by India have further tightened world wheat stocks. India announced on Monday that it was seeking to buy another 350,000 tonnes of wheat and traders were expecting another tender in a few weeks.
India will not buy US wheat due to concerns about weed seeds but its purchases are bullish for US exports because of limited world supplies. Corn export premiums held steady, although values in the CIF barge market continued to weaken due to ample supplies for nearby shipment.
Soyabean export premiums were also unchanged, supported by recent purchases by China. The Chinese government is expected to continuing buying US soyabeans to curb food inflation, which is at an 11-year high. Futures prices hitting a fresh 34-year high have kept other buyers on the sidelines, traders said.
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