Spot basis bids were flat for US Midwest corn and soyabeans on Friday as farmers remained on the sidelines and future for both commodities eased, grain merchants said. Farmers are content to defer sales until a new tax year unless prices rise above highs set last month, when soyabean cash prices climbed above $13 per bushel and corn moved close to $6 at some locations.
Some producers put in offers to sell soyabeans at $13 per bushel on Friday but cash prices did not reach that level, said a dealer at a western Indiana processor. "They feel like they are playing with house money," the dealer said, indicating that farmers have already sold much of their supplies for a profit and are willing to gamble with what's still left in storage.
Corn and soya bids rose modestly at terminals along the Illinois River following a slight decrease in shipping costs. Tight supplies of empties and forming ice pushed up barge freight costs this week while a blast of arctic air could cause more ice to form and shut the Illinois River completely. Corn bids were flat on rail terminals in the southern US Plains as prices remained too low to spur sales but too high to spur demand. Tight supplies of empty rail cars also supported bids, a dealer in Nebraska said.