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Cash corn, soybean buyers holding out

08/05/2013 @ 1:38pm

U.S. cash markets for corn and soybeans remain weaker than in recent weeks, as many buyers expect large harvests of each crop in coming months to reduce prices.

"For right now, anybody who needs grain isn't going to pay up to get it," said Tim Hannagan, analyst with Walsh Trading Co. in Chicago. "They feel they're going to be able to buy it cheaper" as harvest activity picks up, he said.

Until then, many buyers can either wait or go hand-to-mouth, buying just enough to cover their needs until new supplies hit the market, he said.

Changes in corn and soybean cash markets were mixed Monday morning, strengthening in some parts of the Farm Belt while weakening in others.

For soybeans, buyers of spot supplies on Monday morning in Havana, Ill., were paying $1.27 a bushel above the price of November futures, a premium 16 cents smaller than the previous market day.

Buyers of spot corn supplies in Kansas City, Mo., were paying 85 cents above the price of September futures, a premium that is down 15 cents on the day.


Write to Owen Fletcher at owen.fletcher@dowjones.com
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(END) Dow Jones Newswires
August 05, 2013 14:10 ET (18:10 GMT)
DJ Corn, Soybean Buyers in U.S. Cash Markets Wait for Lower Prices->copyright

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THE REST OF THESTORY 08/05/2013 @ 9:17pm NICE ARTICLE OWEN BUT I REALIZE YOU PEOPLE DONT ALWAYS GET A GOOD LOOK AT THE BIG PICTURE FIRST OF ALL BASIS MIGHT BE 85 CENTS IN KZNSAS CITY BUT OUT HERE IN NORTH CENTRAL IOWA ITS 1.21 A BIG DIFFERENCE THAT BID IS FROM LOUIS DREYFUSS CORN PLANT GRAND JUNCTION IOWA NOW IT IS TRUE THEY ARE SHIPPING IN CORN FROM TEXAS AND MINNESOTA BUT IF THEY HAD ENOUGH CORN WHY WOULD BASIS BE THAT HIGH OUR CROP HERE IS VERY ENEVEN SOME TASSLED AND POLLINATED SOME HASNT POKED A TASSELL OUT VERY DRY LEAVES TURNING BROWN AT BASE OF PLANT THIS ON CORN WITHOUT BROWN SILKS MEANING ITS NOT POLLINATED SURE I HAVE OLD CORN SITTING IN MY BINS 60 LB 13%MOISTURE IT MIGHT JUST BE BLENDED WITH NEW CORN IF WE GET ANY AND BE SOLD WHY DO I STILL HAVE OLD BEANS AND CORN CAUSE THERES NO CROP IN THE FIELD YET AND I THINK PRICES OUT HERE IN THE HEARTLAND WILL BE HIGHER AT HARVEST THAN NOW MY DVICE IF YOU NEED CORN GOOD CORN BUY OLD CROP NOW BEFORE WE SELL IT ALL TO THE CHINESE

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