Spot basis bids for corn and soyabeans held mostly steady around the US Midwest on Monday as futures rallied more than 1 percent, prompting a modest increase in farmer sales of each crop, grain merchants said. Farmers sold soyabeans more actively than corn, with soyabean futures rising nearly 1.9 percent to the highest price since October, while corn gained 1.2 percent.
The sales of each commodity were evenly mixed between old-crop supplies from storage and supplies the growers intend to harvest later this year. Farmers are bullish and have generally sold a smaller part of their new crop than normal at this time of year, the dealers said. Soya cash prices climbed to $12.60 per bushel for delivery during June in Iowa and $12.30 for delivery during the fall harvest, triggering sales at those levels, said a merchant at a terminal along the Mississippi River.
New-crop corn prices remain below $6 per bushel in parts of Iowa, leading to a slower pace of sales, dealers said. Basis bids for each crop were largely unchanged as the pickup in sales to start the week was offset by lackluster country sales during the past few weeks.
Corn bids were firm at a Nebraska processor while corn and soya bids rose on the Illinois River. Barge freight was mostly steady on Midwest rivers. Soft red winter wheat bids faded by 3 cents at an elevator in Toledo, Ohio, pressured by soaring futures. CBOT grain and oilseeds climbed amid a weaker dollar and a mood of "risk-on" trading to begin the week. The euro gained on the dollar after Greece passed austerity measures, making commodities priced in the greenback more attractive to importers.
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