US FOB Gulf soyabean basis offers for nearby loading were firm after the close on Friday despite the Lunar New Year holiday in leading buyer, China, as tight loading capacity at the Gulf and strong processor competition underpinned prices, traders said. Corn basis offers remained steady on healthy exports and lower futures and wheat basis offers were unchanged amid sharp drops in futures and continued depressed export demand, which included numerous cancellations announced on Friday.
FOB Gulf soyabean March offers were up 7 cents at 100 cents over CBOT March, which closed 8 cents down at $9.99-1/4 a bushel. Traders said remaining soyabean loading capacity was booked solid and February offers were pulled, contributing to the adjustment in March. Slow interior movement and strong processor demand were keeping the CIF barge market elevated as well. USDA on Friday reported weekly soyabean export commitments were down 32 percent from the prior week at 505,600 tonnes, with only 205,100 tonnes booked by China leading into the annual Lunar New Year holiday. But shipments remain strong at 1.355 million tonnes last week with 690,200 tonnes to China, underscoring the need to keep filling China's massive fourth-quarter buying.
FOB Gulf corn March was offered unchanged at 70 cents over CBOT March, which closed 4-1/2 cents lower at $3.85-1/4. USDA said weekly export commitments for corn were 932,200 tonnes and shipments were 696,200 tonnes. Mexico and traditional East Asian buyers remain the dominate players and largely unaffected by the strong dollar. USDA weekly wheat export sales were only 266,600 tonnes, down 41 percent from the already weak four-week average. Egypt's snap tender for US soft wheat with US financing fell apart this week and Egypt returned to buy much cheaper French and Romania wheat, underscoring the continuing problem with US wheat demand. Exports are running about two-thirds of last season's pace.
A cancellation by unknown buyers of 61,200 tonnes of SRW wheat pushed that grade to a net decrease for the week, USDA said. There were also cancellations of 43,400 tonnes spring wheat and 67,400 tonnes white wheat by unknown buyers. FOB Gulf SRW wheat for March was offered unchanged at 115 cents over CBOT March, which closed 17-1/2 cents down at $5.10-1/4. FOB HRW wheat at the Texas Gulf was quoted steady at 135 cents over KC March, which ended 11-1/4 lower at $5.33-1/4.