Spot basis bids for corn and soyabeans were mostly steady to lower at US Midwest processors, elevators and river terminals on Tuesday as futures climbed and farmers sold portions of both crops, grain merchants said. Sales volume was lower on Tuesday than on Monday and late last week, but farmers continued to market old- and new-crop supplies as corn futures rose for the eighth straight session and soyabeans for the seventh straight session.
Many growers are bullish and willing to sell only a small portion of their supplies in storage, in case prices rise further. Farmers also sold parts of their 2011 harvest. Soya bids eased at a central Iowa processor while soya and corn bids fell on the Mississippi River and at an elevator in western Iowa. Soft red winter wheat bids were steady and sales were few.
Deliveries have been slow this week but will likely pick up next week as farmers begin satisfying January contracts. Few processors or elevators have an urgent need for supplies, dealers said. Barge freight values weak on Midwest rivers. Dry weather in Argentina continues to stoke concerns of tight global grain supplies and lends support to CBOT grain and oilseed futures.
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