Export premiums for soyabeans shipped from the US Gulf Coast were mostly steady on Thursday, underpinned by strong demand but capped by rising supplies as US farmers harvested a likely record-large crop, traders said. Flooding in a portion of the Mississippi River will cut off supplies from the northern Midwest for several days beginning this weekend as at least two locks in southern Iowa are expected to be closed. But there was no market impact as soyabeans grown in the southern US have flooded the market.
Strong crush margins in China supported strong demand from the world's top soya importer. Buyers booked at least two more cargoes of US soyabeans on Thursday, traders said. Net US soyabean export sales last week topped trade expectations at 1.693 million tonnes, according to US Department of Agriculture data on Thursday.
In addition, the USDA confirmed private sales of 120,000 tonnes of US soyabeans to China for 2016/17 shipment. FOB basis offers for Gulf corn were steady to higher on improving export demand following a recent drop in futures prices. Net corn export sales last week fell short of trade forecasts at 575,000 tonnes, but sales have increased this week with a flurry of buying by Mexico and South Korea. Wheat export premiums held steady, anchored by large global supplies.
Wheat export sales last week were within the range of trade forecasts at 570,800 tonnes.
FOB basis offer for soyabeans exported in October were around 105 cents per bushel above Chicago Board of Trade November futures, which closed 4-3/4 cents higher at $9.50-1/4 a bushel. Corn cargoes shipped in October were offered at about 80 cents over CBOT December futures, which closed unchanged at $3.29-1/4 a bushel.
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