Corn spot basis bids were firm at ethanol plants and soyabean bids were higher at soya processors around the US Midwest on Thursday, as slow farmer sales continued to support each commodity, grain merchants said. Many farmers are bullish and likely to remain on the sidelines unless futures equal or rise above the highs set in the first week of the year.
Light deliveries to meet existing contracts were also supportive as snow and rains in parts of the region limited access to on-farm storage bins. Corn and soya basis modestly higher at Midwest river terminals as growing export demand at the US Gulf offset a bounce in barge freight. Corn bids climbed as much as 6 cents per bushel at a processor in eastern Nebraska while soya bids rose 7 cents at a crushing plant in eastern Indiana.
USDA early Thursday said exporters sold 154,700 tonnes of US corn to Mexico, 110,000 tonnes of US corn to South Korea and 120,000 tonnes of US soyabeans to China. CBOT corn and wheat futures were expected to open higher as the dollar index eased to its lowest level in two weeks, making commodities priced in the greenback more attractive to importers. Soyabeans seen higher amid ideas that China was ramping up purchases of US beans.
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