Grain basis continued to push higher this week although gains were more limited than last week. US average soybean basis added 3-cents a bushel while corn posted a 2-cent advance on the week.
Barge rates seemed to bottom out early in the week after a nearly 6 week slide as barge costs added about 4 cents a bushel along the IL River this week. Gulf basis for corn was off 2 cents a bushel, while soybean basis at the Gulf was unchanged. At upstream river terminals, basis levels for corn were relatively flat only advancing 1-cent on average, while soybean basis was up sharply gaining 6 cents.
For end users, there continues to be relatively steady advances in basis as both corn and soybean plants try to entice farmers to move grain in the face of slumping futures prices. At corn plants, basis levels gained 3 cents on average, with gains of 5 to 10 cents fairly typical at plants in the Western Cornbelt. At soybean crushing plants, there were also better than average, adding a nearly 4-cent advance on the week.
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