US FOB Gulf corn bids mostly lower

Basis bids for corn shipped by barge to the US Gulf Coast were mostly lower on Thursday on increased farmer selling and forecasts for milder weather that could improve barge movement on rivers, traders said. CIF soyabean basis bids were mostly steady to lower, with forecasts for improving river logistics pressuring nearby values. CIF soft red winter wheat basis bids were flat while hard red winter wheat bids were steady to firm on tight supplies of high-protein grain.
Barges have struggled to move on Midwest rivers in recent weeks due to ice buildup. Shippers are hoping milder weather forecast to begin this weekend will improve conditions. Export premiums for corn and wheat loaded at the Gulf Coast were mostly steady, while soyabean premiums were weaker amid stiff competition from Brazil, traders said.
Wintry weather along the Gulf Coast has delayed loading at terminals near the Louisiana and Texas coasts, backing up the lineup of vessels waiting to load. Offers for grain loaded in January and early February were largely unquoted because there is very little loading capacity available in the near term, traders said. US Gulf corn demand was light to moderate. Recent sales have been for Pacific Northwest loading, where the cost of grain delivered to key Asian markets is among the lowest in the world.
Taiwan's MFIG bought 65,000 tonnes of US corn via a tender. Traders said it would be for PNW loading. The US Department of Agriculture is due to release weekly export sales data early on Friday. Corn, soyabean and wheat sales last week are all expected to be higher than the previous week, according to analysts. Corn barges loaded in January were bid 44 cents a bushel over Chicago Board of Trade March futures, down 4 cents from Wednesday. FOB Gulf export premiums for late February loadings were around 60 cents over futures.
Soyabean barges loaded in January traded at 38 to 40 cents over CBOT March futures, down 3 to 5 cents from Wednesday's trades. FOB Gulf soyabean offers for February were 51 cents per bushel above futures. Bids for soft red winter wheat barges loaded in January were down a penny at 55 cents over CBOT March futures and January CIF hard red winter wheat train bids held at 230 cents over the K.C. March contract for 12 percent protein grain.