Corn spot basis bids were firm at river terminals around the US Midwest on Friday and held steady at interior points, supported by limited farmer offerings as futures failed to post a new high even as they rallied more than 1 percent. Soyabean futures touched a 5-1/2 month high early in Friday's session, spurring farmer sales. Soya basis bids were narrowly mixed on the rivers - firm on the Illinois, weak on the Mississippi - and flat at interior processors and elevators.
Farmers were active sellers of soyabeans, with a larger volume of new-crop soyabeans sold than old-crop as cash prices topped the price targets of $12.75 to $12.80 per bushel for delivery during the autumn harvest, dealers in Iowa and Ohio said. Soya futures rallied on Friday after USDA cut its South American production forecast more than traders expected, but futures ended slightly lower as traders took profits following the sharp gains.
Some growers were working in the fields, prepping soils for the coming spring planting season. There was little, if any, corn planting yet in the Midwest despite unseasonably warm temperatures; many growers are not willing to risk losing young plants to a late-winter or early-spring freeze.
Farmers were also dumping truckloads of corn and soyabeans to meet March commitments, with the better supplies pressuring basis bids this week. The corn basis is hovering near the lowest levels in about a month at several locations in Illinois, Indiana and Ohio, while the soya basis in Council Bluffs, Iowa, is at the lowest point since January.