Corn export premiums at the US Gulf Coast were steady to firm on Wednesday, with nearby offers rising in tandem with the higher CIF basis as a lack of farmer selling kept supplies in the export pipeline tight, traders said.
Nearby CIF corn basis spiked as short-bought exporters sought grain to meet their immediate export commitments. Available old-crop supplies have thinned due to a lack of farmer selling, particularly after nearby futures plunged 2 percent on Tuesday despite ending stocks seen at a 16-year low.
Lower prices attracting fresh demand inquiries, mostly from regular US corn buyers including Japan, Mexico and South Korea. All were still in need of corn shipped before the next US harvest.
Rumors of renewed buying interest from Chinese importers could not be confirmed, although traders noted that imported US corn would be less expensive for Chinese buyers than their domestic corn. Soybean export premiums at the US Gulf held mostly steady, supported by moderate export demand and higher export premiums in Brazil, traders said.