Corn spot basis bids firmed around the US Midwest on Tuesday as merchants attempted to spark country sales as producers concentrate on fieldwork, dealers said. Meanwhile soya spot basis bids were steady to slightly weaker, and wheat spot basis bids were flat. Corn bids firmed 0.5 to 2 cents at various Midwestern processors.
River corn bids firmed 1 to 1.5 cents. Rail corn bids rose 2 to 14 cents on firmer rail freight costs and a lack of country movement, a rail dealer said. The lack of farmer selling in April is a seasonal event as they enter fields for planting, a Chicago grain broker said. Even with farmers busy in the fields, some dealers in Iowa were able to purchase grain. In Council Bluffs, a dealer said she bought spot loads of corn, and a dealer in Davenport said he bought corn on forward contracts.
Basis bids for corn shipped by barge to the US Gulf were mostly amid routine demand, although dealers said the corn basis could climb as near-ideal weather around the Midwest diverts farmers' attention to spring field work. Corn futures closed higher at the Chicago Board of Trade as late fund buying lent support, as did talk that a commercial firm may cancel corn registrations. CBOT soya futures turned higher after a weak open as a lack of cash selling by US and South American farmers limited supplies at processors and elevators.
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