Export premiums for soyabeans shipped from the US Gulf Coast were steady on Wednesday, underpinned by moderate demand from China for near-term shipments and a slight rebound in CIF barge basis values, traders said. CIF basis bids for December and January barge loadings fell by 2 to 4 cents a bushel on Tuesday but rebounded slightly on Wednesday. Grain merchants reported a third day of modest farmer selling of soyabeans, which limited further basis gains.
Soyabean crush margins in China remain below break-even in some parts of the country. But the margins have improved in recent days so some importers have stepped up purchases, mostly for December and January shipments from the Gulf and the Pacific Northwest, traders said. The USDA on Wednesday confirmed private sales of 124,000 tonnes of US soyabeans to unknown destinations for delivery in the 2015/16 season. Corn and wheat export premiums were flat on generally slow demand. US corn prices are competitive on the world market for near-term shipments. US wheat prices, however, are not competitively priced on the world market, even as US futures prices fell to a 5-1/2-year low, traders said.
Asian feed mills are delaying corn purchases, anticipating prices will fall on an expected increase in exports from Argentina. The USDA will release weekly export sales data early on Thursday. Analysts expect corn and soyabean sales last week to be steady to below the prior week. FOB Gulf soyabeans for December shipment were offered about 75 cents a bushel over CBOT January futures, which closed 3 cents higher at $8.92-1/4 a bushel. December corn offers were 62 cents over CBOT March futures, which closed 3-1/2 cents lower at $3.70-1/4 a bushel.
Spot shipments of soft red winter wheat at the Gulf were offered at about 78 cents over CBOT March futures, which closed 4-1/4 cents lower at $4.67-1/4 a bushel. December hard red winter wheat offers were 105 cents over March futures, which closed 3 cents lower at $4.66 a bushel.