Grain basis levels continue to be steady as ample farmer supplies and large commercial stockpiles are keeping basis levels in check. This week, no major movement in either corn or soybean basis as recent strength in futures prices since the first of the year have kept pipeline supplies well fed.
In the Western Cornbelt, corn basis continues to trade much weaker than normal for this time of year as reports of ground piles by commercials from NE to MN continue to suggest no near term end in sight of basis doldrums. In Iowa, corn plants saw losses of 3 to 5 cents for the past week. The only bright spot continues to be export business which has been picking up of late and keeping basis levels at river terminals more resilient.
For soybeans, the slide in futures prices this week helped stabilize the rout in basis that has happened in recent weeks. Basis levels in soybeans are also running 30 cents a bushel less than the same time last year. This week did see some improvement in river terminal basis especially along the OH & IL rivers. Soy crushing plants continue to struggle with weak meal demand and have limited enthusiasm for pushing spot soy basis higher.
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