Farmers have raised sale prices for their corn and soybeans as the markets continue move beyond $4 for corn and $10 for soybeans.
Grain Movement 7/7: Farmers sell as corn tops $4, soybeans $10
At the CBOT, new-crop December at $4.51-3/4 is up 20 cents from July 1 and November soybeans at $10.28-1/2 are up 40 cents in the past week.
Cash sales continue to trickle into Midwest grain dealers but the volume is down considerably from two weeks when prices first topped $4 and $10. New-crop corn that once priced at $4.20 is now at $4.50 said a central Illinois dealer.
"Everybody is bulled up, even for new-crop," the dealer said.
Basis bids weakened following the surge in cash sales and gains in the board. In central Iowa, corn has dropped to 47 under the September from 37 under a week ago and soybeans went to 40 under the August from 31 under.
Demand by poultry producers in the southeast continues to draw corn out of the Midwest with trains scheduled for shipment over the next few weeks.
River markets are back in operation after flooding and high water in June disrupted loadings. On the upper Mississippi, bids of of 21 under the September drew corn away from processors until Monday when processor bids went to 17 under, an Iowa dealer reported. The Mississippi River in eastern Iowa also had the best bid for soybeans at 8 over the August.
Grain Movement 6/29: Surge in farmer selling knocks down basis bids
Area corn and soybeans need dry weather. In central Illinois, rain over the weekend and more expected early this week hurt the corn, a dealer there said.
Late on Monday, USDA reported the nation's corn was unchanged at 69% good to excellent, as improvements in North and South Dakota, Wisconsin and North Carolina offset slippage in a number of states including Illinois, Indiana, Minnesota and Ohio.
Soybeans slipped to 62% good/excellent from 63%. Slippage was seen in the Illinois, Indiana and Kansas crops.
Export inspections on Monday showed weekly declines in soybeans and wheat, while corn increased from the prior week. It showed year-to-date corn shipments at nearly 1.5 billion bushels, down 5.4% from a year ago, and soybeans at nearly 1.8 billion, up nearly 13%. Wheat shipments about five weeks into the crop year are at 68.3 million, down 32%.