Grain basis levels continued to remain flat this week even after the USDA report gave a spark to futures prices. Corn was up half a cent a bushel on average across the US while soybean basis was unchanged.
For both corn and soybeans, the only bright spot in basis this week was at river terminals. As flood waters receded this helped bring back buying interest from river terminals. Corn basis at river terminals was up 2.75 cents a bushel on average while soybean basis posted a 2.25 cent advance.
For end users, margins continue to be pressured which has kept basis levels in check. Ethanol basis did manage to be unchanged for the week but lagged the broader market, while soybean crushing plants dropped basis by 1-cent a bushel on average.
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