CIF/FOB Gulf Grain-Corn, soybean barge basis ease as trade war escalates

CHICAGO, April 7 (Reuters) - Spot basis bids for soybeans and corn delivered by barge to U.S. Gulf Coast terminals continued to fall on Monday, as a global trade war touched off by U.S. President Donald Trump's sweeping tariffs escalated further, traders said.

On Monday, Trump threatened to increase duties on China, after China struck back at the U.S. tariffs with a slew of countermeasures including extra levies of 34% on all U.S. goods and other export curbs — a move that was seen stifling demand from the top customer for U.S. soy.

Meanwhile, the European Union proposed counter-tariffs at 25% on a range of U.S. imports in response to Trump's steel and aluminum tariffs.

While barge freight rates ticked lower in the spot market on the Illinois River, rates were steady to higher along the Mississippi and Ohio rivers. BG/US

CIF Gulf soybean barges loaded in April were bid at 63 cents over Chicago Board of Trade May SK25 soybean futures, while May loadings were bid at 62 cents over futures — both lower from Friday. Offers and bids for deferred months also continued to fall lower, traders said.

FOB export premiums for soybeans shipped from the Gulf in April were up 1 cent at 91 cents over May futures.

CIF Gulf corn barges loaded in April were bid at 74 cents over CBOT May CK25 corn futures, while May loadings were bid at 70 cents over futures — both also lower from Friday.

FOB export premiums for corn shipped from the Gulf in April fell 1 cent to around 84 cents over futures.

For displays of CIF basis, click on the codes in brackets:
U.S. CIF Gulf soybeans GRYM
U.S. CIF Gulf corn GRYN
U.S. CIF Gulf SRW wheat GRYO
U.S. CIF Gulf HRW wheat GRYP
For displays of FOB basis, please click on the following codes in brackets:
U.S. FOB Gulf corn GRZC
U.S. FOB Gulf soybeans GRZD
U.S. FOB Gulf SRW wheat GRZE
U.S. FOB Gulf HRW wheat GRZF

LINKS Corn prices page:   cpurl://apps.cp./cms/?pageid=corn-cash-market
Wheat prices page:  cpurl://apps.cp./cms/?pageid=wheat-cash-market
U.S. barge freight                  BG/US
U.S. export sales estimates         USDA/EST
U.S. grain export summary           GRA/U
Brazil soybean export prices        SYBS
Brazil corn export prices           SYBX
Argentina grain prices              GRA/ARG
Russia grain prices                 GRA/RU