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Corn basis climbs

Corn basis levels were higher this week thanks to strength in the western Plains and eastern Corn Belt. For the week, corn basis levels moved higher by 3 cents a bushel while soybean basis was up by only one cent a bushel.

Cash corn markets continue to enjoy favorable carry in the forward months, which is keeping farmers focused on capturing the carry and limiting pipeline supplies. River markets were mostly unchanged this week as Gulf basis bids were up only slightly for corn. Western areas saw more advanced gains, with 5 cents or more being fairly typical in Kansas and Colorado.

In the soybean market gains were much harder to come by. In fact, Gulf basis was off 8 cents a bushel which caused weakness upstream at river terminals. Although barge rates have been fairly stable of late, they have inched slightly higher in recent weeks which puts additional pressure on country basis levels.

Corn basis levels were higher this week thanks to strength in the western Plains and eastern Corn Belt. For the week, corn basis levels moved higher by 3 cents a bushel while soybean basis was up by only one cent a bushel.

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