Soyabean spot basis bids were steady to lower around the interior US Midwest on Friday while farmers sold small amounts of both new-crop and old-crop supplies on stronger Chicago Board of Trade grain and soya futures, grain merchants said. CBOT corn and soya futures fell for three straight sessions before gaining on Friday after getting support from outside markets on better-than-expected US jobs data.
Some producers were interested in selling small amounts of crops on the improved futures values, dealers said. Some soyabean bids were pressured at elevators and processors, falling as much as 30 cents per bushel at an northern Indiana location. A soyabean bid fell 10 cents per bushel at a closely watched processor in Decatur, Illinois while a soya bid fell by 20 cents per bushel at an elevator near Chicago.
"Everyday you get closer to new crop. So if you don't need anything you unwind the premiums," a Chicago-based grain trader said of the pressured bids. Corn bids were steady to narrowly mixed. Corn bids at a processor and elevator near Chicago fell 5 cents to 10 cents per bushel. Corn bids rose by 2 cents to 3 cents at a Nebraska processor and a terminal on the Illinois River.
Barge freight rates held mostly steady for shipments to the US Gulf Coast, while CIF values slipped, river brokers said. Water levels were closely monitored at river terminals as the worse drought in more 50 years decreased water levels on the Mississippi River. Doane Advisory Services forecast US 2012 corn production at 10.792 billion bushels with an average yield of 123.1 bushels per acre, following its annual crop tour. Private analytics firm Informa Economics expects the US government to lower its US 2012 corn yield estimate to 120.7 bushels per acre (bpa) next week, but the firm also said in a note to clients that it expected a "most likely final" corn yield of 131.0 bpa.
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