FOB Gulf Grain-Wheat premiums steady to firm on moderate demand

Nov 13 (Reuters) - Wheat export premiums at the U.S. Gulf Coast were steady
to firm on Wednesday, supported by moderate demand as U.S. prices were becoming
more competitive on the world market, traders said.
    * Brazilian millers bought at least 60,000 tonnes of U.S. hard red winter
wheat for shipment from the Gulf Coast in December. Brazil has booked record- or
near-record U.S. wheat purchases this season. 
    * Egypt's GASC set a tender on Wednesday to buy wheat for shipment Dec.
1-15, with results expected on Thursday. 
    * Soft red winter wheat and soft white wheat prices, including shipment to
Egypt, were slightly above European wheat prices so U.S. sales to GASC were not expected, traders said. Also, exporters will be reluctant to offer U.S. wheat for shipment in the first half of December because available export loading capacity is very limited. * FOB basis offers for corn, soybean and wheat shipments from the Louisiana Gulf in November and much of December were unquoted as loading capacity was effectively sold out. * China's CNGOIC think-tank increased its wheat import outlook to 8 million tonnes this season, up 500,000 tonnes from its prior forecast, but below the USDA's 8.5-million-tonne view. Imports from the United States were pegged at 4.3 million tonnes. SOYBEANS, CORN * Export premiums for corn and soybeans were mostly steady at the U.S. Gulf, with nearby values unquoted due to a lack of available loading capacity, traders said. * China has most of its near term soybean needs filled and has been buying for early 2014. USDA on Wednesday confirmed private sales of 123,000 tonnes of U.S. soybeans to China for 2013-14 delivery. USDA also confirmed 116,000 tonnes in sales to China a day earlier. * U.S. corn prices for early 2014 shipments were competitive on the world
market and traditional importers such as Japan and Mexico have been booking forward purchases for shipments through March, traders said. * CIF basis bids for spot corn barges at export terminals near the Gulf rose on Wednesday to the highest since August amid higher barge freight and strong demand from at least one short-bought exporter, traders said. * CIF corn barges loaded in the first half of November traded as high as 91 cents a bushel over Chicago Board of Trade December futures and were bid 86 over late in the day. * USDA's weekly export sales report, normally released every Thursday, will be delayed until Friday due to the Veterans Day federal holiday last Monday. (Reporting by Karl Plume in Chicago, editing by G Crosse)

About the author



Stories from our other publications