FOB Gulf Grain-Corn, soy steady/firm as futures fall; wheat mixed

CHICAGO, July 9 (Reuters) – U.S. FOB Gulf corn basis offers were firmer on Wednesday after futures fell to contract lows, and also because of stronger CIF values and steady interest in U.S. corn now competitive with South America and Black Sea, traders said.

* FOB soybean offers were steady/firm with the drop in futures stirring fresh interest from Chinese crushers as margins improve. FOB wheat basis values for both SRW and HRW were mixed after Egypt’s GASC bought all Romanian wheat in its snap tender issued Tuesday.

* FOB corn values August through December were all higher, with August and September up 10 cents at 100 cents over CBOT September futures. O/N/D slots were 5 cents higher at 100 cents over December futures. CBOT September corn closed 7 cents lower at $3.91-1/4 per bushel, after notching a new low of $3.89-1/4 on prospects for a bin-busting harvest.

* USDA reported a couple big corn sales early Wednesday as four-year lows this week uncovered fresh interest. Japan bought 101,600 tonnes and unknown destinations booked 107,696 tonnes – both new-crop.

* FOB Gulf soybeans were steady to firmer as the drop in futures continues to attract new-crop inquiries from Chinese crushers amid improving margins, traders said.

* Soybeans for July loadings were thinly quoted at 100 cents over July futures. New-crop Sept/Oct were unchanged at 180 cents and 150 cents over November futures, respectively. November loadings were quoted at 127 cents over and December at 117 cents over November futures – both 2 cents higher from Tuesday night.

* CBOT August soy closed 2 cents down at $12.46-1/2 per bushel. November soy ended 12-1/2 cents down at $11.03-3/4.

* FOB Gulf SRW, HRW wheat basis offers were mixed after Egypt’s GASC bought 240,000 tonnes of Romanian wheat. Jul/Aug/Sep were steady to lower while O/N/D slots were steady to firmer, reflecting high rail freight, traders said.

* Egypt’s GASC only bought Romanian wheat in its snap tender at an average FOB price of $250.50 per tonne for Aug. 21-31 shipment. As expected, U.S. exporters did not offer wheat in GASC’s latest tender as freight keeps the U.S. at a disadvantage, traders said.

* SRW wheat basis offers for August loadings fell 5 cents to 90 cents over CBOT September futures, while Sept was unchanged at 95 cents over futures. HRW July quotes at the Texas Gulf were nominal, down 3 cents at 150 cents over KCBT September while O/N/D slots were up 5 cents at 175 cents over KCBT December futures, reflecting pricey rail freight for fall shipment.

* CBOT September wheat closed 5 cents lower at $5.51-1/4 and KCBT September wheat ended 11 cents down at $6.53-1/4, as quiet exports and harvest supplies weigh on markets.

* Traders await USDA weekly export sales on Thursday. Estimates in tonnes: Wheat 400,000-635,000; corn 225,000-400,000 (2013/14), 375,000-650,000 (2014/15); soybeans -100,000-+100,000 (2013/14), 300,000-500,000 (2014/15). (Reporting by Christine Stebbins. Editing by Andre Grenon)

About the author



Stories from our other publications