Export premiums for corn shipped from the US Gulf Coast were mostly flat on Friday on light demand and plentiful supplies, traders said. US Department of Agriculture on Friday estimated total US corn stocks as of June 1 at 5.225 billion bushels, the third-highest ever for the date.
Rising CIF corn barge basis bids underpinned FOB values. June and July barges traded on Friday as high as 33 cents a bushel over Chicago Board of Trade July futures, the highest basis for a spot shipment in five weeks. Large US corn stocks and rising competition from South American supplies are dampening demand for US purchases, traders said. Argentine prices for near-term shipments are below US prices and Brazilian corn prices have weakened this week.
Wheat export premiums at the Gulf were capped by sharply higher futures prices, which have dampened demand, traders said. Soyabean export premiums were flat on seasonally slow demand. US grain markets will be closed next Tuesday for the Independence Day holiday. Futures markets will close early on Monday and traders expect cash market activity to be limited.
Late July corn vessels were offered around 40 cents over Chicago Board of Trade September futures. Soyabean vessels loaded in late July were offered around 47 cents a bushel over CBOT August futures. Soft red winter wheat offers for June and July loadings were 60 cents a bushel over CBOT September futures. Premiums for 12 percent protein hard red winter wheat were 200 cents over July futures.