US FOB Gulf corn offers jump

US FOB Gulf corn basis offers jumped 5 cents for February shipments after the close on Friday adding to futures gains after a marketing-year high export sales were reported for last week, traders said. Soyabean basis offers were steady to firm as traders shrugged off an aberration in weekly export sales which were a marketing-year low of 14,100 tonnes as China reworked its commitments ahead of the South American harvest.
US FOB Gulf corn offers were up 5 cents at 85 cents over CBOT March, which closed 3 cents higher at $3.86-3/4 a bushel. USDA reported export corn sales for the week ended January 15 of 2.2 million tonnes by far the largest week for season. Highlights included 483,700 tonnes of corn to unknown destinations, which traders continue to speculate might include some business to China after relaxation of its GMO regulations. Another highlight was 66,000 tonnes of corn sold to Iran - the first in more than three years - despite its political battles with the US due to sanctions.
Soyabean basis offers for shipment first-half February were steady at 97 cents over CBOT March, which closed down 4 cents at $9.72-3/4. USDA net sales of soyabeans included cancellations of 413,800 tonnes to unknown and 77,000 tonnes to China. There were transaction which occurred before the most recent daily sales announcements from USDA of both cancellations and additional Chinese buying. China did load out 1.15 million tonnes last week. China was the dominate buyer of US sorghum, taking another 209,500 tonnes last week and shipping 108,400 tonnes.
Another significant buyer continues to be Russia, which booked 83,200 tonnes including 80,000 tonnes switched from unknown. Total net US wheat export sales for last week were 458,400 tonnes, up 69 percent from the four-week average. Sales included 92,000 tonnes to unknown destinations but Brazil cancelled 27,000 tonnes. The strong dollar continues to overhang US wheat more than corn and soyabeans. SRW FOB offers for January-February-March were steady at 130 cents over CBOT March, which closed down 3-3/4 cents at $5.30. HRW offers for January-February-March at the Texas Gulf were also unchanged at 140 cents over KCBT March, which ended down 3/4 cent $5.64 a bushel.