US soyabean export premiums at the Gulf of Mexico were steady to softer on Tuesday amid a lull in demand from China, while corn basis values were generally steady amid routine demand, traders said. Nearby soyabean futures plunged on Tuesday amid a slowdown in demand for US soyabeans from top buyer China and talk that China had cancelled some recent cargoes.
Exporters could not confirm that China had canceled any cargoes. Demand from China for US soyabeans has been slow this week. Eye on demand for new-crop amid large discount to old-crop. US slowdown underscored by weekly export inspections estimate at one third of week ago values.
Brazil soya export premiums firm on recent strong demand. US prices competitive with Brazil, traders said. US soya export demand has been unseasonably strong amid a drought-reduced South American crop. Oilseeds analysts Oil World again cut its forecasts for soyabean crops in Argentina and Brazil on Tuesday which it said would raise global demand for US supplies.
CORN, WHEAT:
Corn export values underpinned by steady demand from routine US customers and firm barge market.
Weekly export sales pace seen holding near recent range around 800,000 to 1 million tonnes, with Japan and South Korea the top buyers, traders said. Recent price decline and weaker ocean freight may lure more demand for US corn, traders said.
Slow farmer selling underpinning values in the CIF barge market that feeds export channels at the Gulf. US wheat export premiums flat amid dull demand for US supplies, the highest priced in the world. Trade awaiting results of Iraq tender for 50,000 tonnes optional origin wheat, which closes on Sunday.
US wheat unlikely to be included in Iraq tender due to prices about $10 a tonne higher that Canadian and Australian wheat and about $25 a tonne higher than Russian, traders said.