US FOB Gulf soyabean premiums steady on spot Chinese demand

Export premiums for soyabeans shipped from the US Gulf Coast were mostly steady on Thursday on moderate demand from China for near-term shipments, traders said. Adequate soyabean supplies in the export pipeline following several days of active farmer selling kept a lid on basis values. The US Department of Agriculture pegged net soyabean export sales last week at more than 1.45 million tonnes, nearly all of it to China. It was the tenth time in 12 weeks that sales topped 1 million tonnes.
The USDA on Thursday also confirmed additional private sales of 120,000 tonnes of soyabeans for delivery in the 2015/16 season to unknown destinations. Traders said the announcement appeared to confirm December and January sales to China earlier this week. Corn export premiums at the Gulf were mostly flat amid generally weak CIF barge basis values and a slowdown in demand following last week's stronger-than-expected sales.
Net corn export sales last week more than doubled from the previous week, topping 1 million tonnes for just the second time since February.
Traders said sales have since slowed, with some importers awaiting an expected increase in shipments from Argentina in the coming weeks and months. Expected peso devaluation may boost farmer selling and weaken prices, with FOB offers for spring shipments at least $10 a tonne below US prices, traders said. Wheat export premiums were unchanged in quiet trade, but the market had a weak tone amid poor export demand due to ample global supplies and a strong dollar. Net US wheat export sales last wee totalled a lower-than-expected 225,100 tonnes, according to USDA data.
Algeria's OAIC bought at least 500,000 tonnes of optional-origin milling wheat, grain that is expected to be sourced from France and Argentina. FOB Gulf soyabeans for December shipment were offered about 75 cents a bushel over CBOT January futures, which closed 1-1/2 cents higher at $8.78-1/4 a bushel. December corn offers were unchanged at 63 cents over CBOT March futures, which closed 5-1/2 cents higher at $3.79-1/4 a bushel.
Spot shipments of soft red winter wheat at the Gulf were offered at about 78 cents over CBOT March futures, which closed 5-3/4 cents higher at $4.95-1/2 a bushel. December hard red winter wheat offers were 105 cents over March futures, which closed 9-1/4 cents higher at $4.89-3/4 a bushel.