Spot corn and soyabean basis bids were steady to weak around the US Midwest on Thursday amid moderate to active corn sales and a rally in the futures market, grain merchants said. Dealers noted active corn sales in western Iowa and moderate in parts of the eastern Corn Belt as futures rose to the highest level in a month.
Farmers were taking advantage of a jump in prices to generate cash flow to fund upcoming spring planting, which is expected to be more costly than in recent years. Some farmers forward-contracted corn for delivery after the fall harvest, dealers said. Other farmers continue to hold out for $4 per bushel cash corn prices, which was about 10 to 25 cents more than current cash prices.
Dealers said soyabean sales were slower on Thursday, following light movement on Wednesday. Farmers are hoping for $9 per bushel cash prices. Chicago Board of Trade futures bounded higher, following a late-day surge in US stock markets and higher crude oil.
Barge freight was flat on Midwest rivers. Barge loadings are river elevators were hampered by high water following recent heavy rains in the Midwest. CBOT May soyabeans ended up 24 cents, or 2.3 percent, at $8.82 a bushel. May corn was up 20-3/4 cents to $3.85-1/4 a bushel, a 5.7 percent increase. CBOT May wheat up 16-3/4 cents, or 3.3 percent, to $5.25 a bushel.