CIF/FOB Gulf Grain-Soybean basis weak on light demand, lower barge freight
CHICAGO, March 4 (Reuters) - Basis bids for soybeans shipped by barge to U.S. Gulf Coast terminals were flat to lower on Wednesday, weighed down by light export demand and easing river freight costs, traders said.
CIF corn basis bids at the Gulf were also steady to weaker.
Accelerated farmer sales this week have bolstered supplies of corn and soybeans available to exporters.
Chicago Board of Trade soybean futures Sv1 this week hit the highest point since June 2024. Corn futures hit a two-month high.
Barge freight costs weakened at midweek as widespread rains raised river levels and improved barge transportation logistics, traders said. Spot offers for barges fell by 25 points of tariff on Wednesday on the Illinois, Ohio and mid-Mississippi rivers. BG/US
Demand for U.S. soybeans has slowed seasonally as newly harvested Brazilian soy was available at much cheaper prices. FOB offers at Brazil's Paranagua port were quoted around $1.30 per bushel below U.S. Gulf prices for spot shipments, traders said.
The U.S. Department of Agriculture is due to release weekly export sales data early on Thursday. Analysts surveyed by Reuters expect old-crop soybean sales of 300,000 to 1 million metric tons.
Corn export sales remained robust as U.S. prices were the cheapest among major exporters. The USDA on Wednesday reported sales of 125,000 metric tons of U.S. corn to undisclosed buyers in a second straight daily sales announcement.
CIF Gulf soybean barges loaded in March were bid 7 cents lower at 82 cents over Chicago Board of Trade May SK26 soybean futures. April barges were bid 4 cents lower at 85 cents over futures.
FOB export premiums for soybeans loaded from the Gulf in March held at around 117 cents over May futures.
CIF Gulf corn barges loaded in March were bid steady at 85 cents over May CK26 corn futures. April bids were down a penny at 82 cents over futures.
FOB corn export premiums for March corn loadings were unchanged at around 107 cents over May CK26 futures.
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