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US FOB Gulf soyabean basis offers were steady to firmer late Thursday as steady interest by China buyers in new-crop and tight capacity at the Gulf remain supportive factors, traders said. FOB corn and wheat values were unchanged Thursday afternoon with traders reporting steady interest in corn while wheat inquiries were generally quiet. Growing tensions in the Black Sea region after Moscow banned food imports underpins both US wheat and corn as world buyers are cautious about booking out of that region.
Soyabean basis values for September held at 210 cents over CBOT November futures while October was up 5 at 175 cents over November futures. Loadings for November were steady at 165 cents over futures. CBOT November soya ended 2 down at $10.78 a bushel. USDA on Thursday reported a fresh soyabean sale of 113,000 tonnes to unknown destinations for delivery in the 2014/15 marketing year. Weekly export sales data also confirmed that China remains a hefty buyer of US soyabeans, booking 700,000 tonnes of the 1.1 million sold in the week ended July 31.
FOB corn values for August and September were steady at 145 cents over CBOT September futures with October-November-December also unchanged at 142 over December futures. CBOT September closed 3-3/4 lower at $3.59-1/4. USDA said weekly old-crop corn sales were down 30 percent from the previous week at 120,000 tonnes, which included a cancellation of 68,000 tonnes by Egypt. But China booked 16,800 tonnes of old-crop corn despite the ongoing GMO issue. New-crop sales of 758,700 tonnes were near to below expectations, traders said. Shipments were 1.1 million tonnes, with the bulk of that loaded out of the Gulf.
Texas Gulf FOB hard red wheat basis offers were unchanged at 160 cents over KCBT September futures and September at 165 over KCBT September. O/N/D slots were offered 185 cents over December futures. KCBT September wheat closed 10 down at $6.46-1/4. SRW wheat was also steady with August at 130 cents and September at 135 cents over September futures. October held at 150 cents over CBOT December futures. CBOT September wheat ended 6-1/2 cents lower at $5.61-1/2. Traders said there was talk of a second vessel of soft red loaded out of the Lakes this week.
But concerns remain about the quality of US SRW wheat as the southern Midwest crop contains high levels of vomitoxin. The EU crop is also of poor quality as late season rains damaged mature wheat there too. USDA reported weekly wheat sales of 590,900 tonnes, down 26 percent from the previous week. Nigeria was a featured buyer with 177,700 tonnes of HRW and 44,700 tonnes of SRW. Brazil cancelled 35,500 tonnes of white wheat.

Copyright Reuters, 2014

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