CIF/FOB Gulf Grain-Corn, soybean basis bids steady-firm on slow farmer sales
CHICAGO, March 19 (Reuters) - Spot basis bids for soybeans and corn shipped by barge to U.S. Gulf Coast terminals were steady to firmer on Thursday amid a slowdown in farmer sales, although gains were limited by easing barge freight costs, traders said.
Chicago Board of Trade corn Cv1 and soybean Sv1 futures climbed, but farmer sales remained slow following a drop in prices earlier this week. The slowdown has tightened supplies available to exporters.
U.S. soybean export sales have slowed as global buyers are increasingly turning to cheaper Brazilian supplies. Offers for spot shipments from Brazil are at least $1.10 per bushel cheaper than U.S. Gulf soybeans on a FOB basis.
The U.S. Department of Agriculture said net U.S. soybean export sales last week fell to a lower-than-expected 304,808 metric tons, the smallest weekly tally in five weeks. The sales included 79,867 tons purchased by top importer China.
Soybean traders are awaiting a possible increase in Chinese buying ahead of a summit between U.S. President Donald Trump and Chinese President Xi Jinping, which Trump said was delayed by about a month and a half.
Spot barge freight costs have come under pressure as river shipping conditions improved following recent rains. BG/US
Corn export sales declined last week to a three-week low, but season-to-date sales remain about 30% above a year ago, according to USDA data.
CIF Gulf soybean barges loaded in March were bid a penny higher at 62 cents over Chicago Board of Trade May SK26 soybean futures. April soybean barges were bid 3 cents higher at 71 cents over futures.
FOB export premiums for April soybean loadings were down 23 cents at 97 cents over futures.
CIF Gulf corn barges loaded in March were bid 2 cents higher at 83 cents over CBOT May CK26 futures. April corn barge bids were steady at 81 cents over futures.
Corn export premiums for April loadings at the Gulf were steady at 95 cents over futures.
