US Midwest soya bids lower, corn steady

10 Oct, 2010

Soyabean spot basis bids were mostly lower on Friday around the US Midwest, pressured by a lowered USDA production forecast and fresh soyabean supplies from fall harvest, dealers said. Corn spot basis bids were steady to mixed. Producers inquired about corn pricing and delivered large amounts of soyabeans from the interior, dealers said.
USDA shocked markets, cutting corn crop estimate 4 percent and soyabeans 2 percent based on conditions October 1. Farmers sold some crops, but others felt they sold enough before Friday and chose to wait until Monday to sell again, dealers said. High river levels impeded grain loading at a Mississippi River location near Davenport, Iowa, a dealer said.
The National Weather Service said there was minor to moderate flooding along portions on the Mississippi River on the Iowa and Illinois border. A processor in Blair, Nebraska posted a quick ship corn bid for delivery by October 10 at 5 cents under the CBOT December contract. Corn deliveries for the remainder of October were bid at 10 cents under the CBOT December contract. Surging corn to buoy US distillers grain exports. Active harvest of US corn, soya crops expected through next week as dry weather blankets most of the Midwest.
Talk China this week bought 20 cargoes of US soya and some early concerns about dryness in South America soya areas also lift soyabean futures. An elevator wheat bid slipped by 5 cents in Illinois. CBOT December corn ended up 30-cent limit at $5.28-1/4 per bushel and biggest percentage gain since rising 9 percent on June 30.
CBOT November soyabeans ended up 70-cent limit at $11.35 a bushel. December wheat ended up 60 cents at $7.19-1/4 a bushel nearby rallied the 60-cent limit but pulled back slightly. Chicago Board of Trade wheat, corn, soyabeans, soyameal, soyaoil and oats futures will trade with expanded daily price limits on Monday after each of those markets closed limit-up on Friday, the CME Group said. CBOT December corn up 30 cents to $5.28-1/4 per bushel; November soyabeans up 70 cents to $11.35; December wheat rose 60 cent to $7.19-1/4.

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