CIF/FOB Gulf Grain-Soybean basis steady-firm as China books new-crop purchases
DBA•Corn basis held back by higher futures
Corn basis values in the river market remained anchored by soaring futures prices, which gained more than 5% this week on worries about U.S. production prospects.
The closely followed Pro Farmer crop tour this week found lower-than-expected corn yields in much of the Midwest this week. The group on Friday forecast the average U.S. corn yield at 173.2 bushels per acre, well below the latest U.S. Department of Agriculture outlook for 180.7 bpa.
- CIF basis bids for corn barges loaded in August were unchanged at 80 cents a bushel over CBOT September CU26 futures.
- FOB corn export premiums were steady at 120 cents over futures for shipments in September.
Soybean basis steady to higher at Gulf terminals
Basis bids for soybeans loaded on barges and delivered to U.S. Gulf Coast terminals were steady to higher on Friday on good exporter demand as top buyer China booked multiple shipments late this week.
- CIF soybean basis bids were mostly flat, capped by rising futures prices.
- The U.S. Department of Agriculture on Friday confirmed private new-crop soybean export sales totaling 1.432 million metric tons to China and undisclosed buyers. Traders said the unknown buyers were likely Chinese importers.
- CIF soybean basis bids for barges loaded in August were 3 cents higher at 100 cents over Chicago Board of Trade November SX26 futures. September barges were bid 5 cents higher at 105 cents over futures.
- FOB basis offers for soybeans loaded in early September were around 123 cents over futures, while late-September loadings were offered around 128 cents over futures, up 3 cents.
