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US Gulf CIF corn and soyabean basis bids held steady on Monday amid slow farmer selling as producers waited for a break in wet weather to plant corn, traders said. Flooding from recent rains was expected to close several locks on the upper Mississippi River, halting barge traffic in some cases through May 9.
Effect limited by slow export demand and availability of grain via railroads. Exporters already behind schedule unloading barges at the Gulf and not seeking fresh supplies, especially of corn. Soft wheat basis values steady to lower amid pressure from the approaching harvest in late May.
CIF SRW wheat for April shipment traded at option to CBOT May on Friday and was rebid at the traded price. Hard wheat basis supported by tighter supplies and fresh tender from Iraq that will close Saturday. Strong demand from domestic processing plants for soyabeans supporting basis bids. CIF soyabeans for May traded at 50 cents a bushel premium to CBOT May on Friday and were rebid at 48 cents over.

Copyright Reuters, 2008

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