Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Corn Premiums Drop on Reduced Demand; Soybean Basis Gains

Don't Miss Out —
Follow us on:

April 13 (Bloomberg) -- Cash premiums for corn shipped in April and May to terminals near New Orleans fell relative to Chicago futures as demand weakened. Soybeans basis rose as farmers withheld crops.

The spot-basis bid, or premium, for corn delivered in the first half of this month was 51 cents to 55 cents a bushel above May futures, compared with 57 cents to 60 cents yesterday, U.S. Department of Agriculture data show. Deliveries in the second half of April and all of May fell as much as 8 cents. The soybean basis for delivery in April rose to 58 cents to 67 cents a bushel from 58 cents to 66 cents.

“Export trade seems to be a little weaker, and some commercial companies may be selling some corn,” said Glenn Hollander, a partner at Chicago-based Hollander & Feuerhaken, a cash trader and futures broker. “Less soybeans are moving off farms,” tightening supplies, he said.

Corn futures for May delivery gained 3 cents, or 0.4 percent, to $7.555 a bushel on the Chicago Board of Trade today. Soybean futures for May delivery rose 3.75 cents, or 0.3 percent, to $13.335 a bushel on the CBOT.

Moderate flooding has slowed barge traffic and some grain loading along the upper Mississippi River, Hollander said. More rain this weekend may increase shipment delays to export terminals.

“Some of the river terminals may have to halt or slow loadings next week,” Hollander said. “It’s nothing unusual for this time of the year.”

To contact the reporter on this story: Jeff Wilson in Chicago at jwilson29@bloomberg.net

To contact the editor responsible for this story: Steve Stroth at sstroth@bloomberg.net.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.