Spot basis bids for corn and soybeans were steady to firm around the US Midwest on Wednesday amid scattered country movement, grain dealers said. Sharp downturns in the futures market slashed 50 cents per bushel off the cash price of soybeans and 20 cents per bushel from corn prices.
A few growers who were worried cash prices would not bounce back in the coming weeks booked sales of both commodities, dealers in Iowa and Ohio said. "I think they are scared," an eastern Iowa dealer said.
Grain dealers around the region were taking protection of 10 cents per bushel on soybeans to guard against further declines when the futures market opens on Thursday morning. A few dealers also posted protection of 5 cents per bushel on corn.
Many growers were still unwilling to commit to any new sales because they expected prices to rebound. Many farmers locked in profits when prices were at record levels earlier this month so there was little pressure to sell. Some growers were waiting until they calculated their acreage splits for the year before they made any more sales, dealers said.
Shipping costs were mostly higher rose on Midwest rivers. The downturn in the futures market has made the price of US commodities more attractive on the world market. Barges traded in a range from 440 percent to 445 percent of tariff on the Illinois River, up from 400 percent of tariff on the lower Ohio River.