Spot cash basis bids for corn firmed in a few locations in the interior US Midwest on Tuesday as buyers tried to entice farmers to sell while waiting for the corn harvest to pick up speed, dealers said. The spot corn basis rose by 10 cents at a processing site in Chicago and by 3 cents at an Iowa ethanol plant.
Soyabean basis bids continued to sink, reflecting the approach of harvest and a pickup in farmer soya offerings last week. The soya basis fell 15 cents at a crushing site in Sioux City, Iowa, and 5 cents at a Council Bluffs, Iowa, elevator. River bids for corn and soyabeans were mostly lower, pressured by surging costs for barge freight due to low water on the Mississippi that has restricted supplies of empty barges.
Barges were offered for this week on the Mississippi at St. Louis at 550 percent of tariff, up from 500 percent a day ago. Similarly, barges traded at 550 percent of tariff on the Memphis-to-Cairo section, up from 500 percent a day earlier. Torrential rain and flooding from Hurricane Isaac will bring relief to a large chunk of drought-stricken US cropland but will stall early harvest of corn, soyabeans and rice - meteorologist.
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