DTN Daily Basis Comments

DAILY BASIS AND CASH INDEX SUMMARY:

The national average basis for corn was unchanged at 44 cents under the December futures contract while the DTN National Corn Index was down 1 cent at $3.08. The national average basis for soybeans was 1 cent stronger at 79 cents under the November futures contract while the DTN National Soybean Index was unchanged at $8.96. The national average basis for HRW wheat was 1 cent stronger at 72 cents under the December futures contract, while the DTN National Hard Red Winter Wheat Index was up 1 cent at $3.61. The national average basis for HRS wheat was 1 cent stronger at 39 cents under the December future contract while the DTN National Hard Red Spring Wheat Index was up 3 cents at $5.83.

DAILY BASIS CHART:

	DTN Cash	Change From	National	Contract	Change from
Commodity	Index	Prev Day	Avg. Basis	Month	Prev Day
Corn:	$3.08	-$0.01	-$0.44	Dec	$0.005
Soybeans:	$8.96	$0.00	-$0.79	Nov	$0.002
SRW Wheat:	$3.97	-$0.02	-$0.38	Dec	$0.002
HRW Wheat:	$3.61	$0.00	-$0.72	Dec	$0.009
HRS Wheat:	$5.83	$0.03	-$0.39	Dec	$0.013

CORN:

The DTN National Corn Index for Wednesday indicated a national average basis of 44 cents under the Chicago December futures contract, unchanged from Tuesday's basis. The corn market closed lower after trading higher even with a lower USD and harvest delays shown in Monday's crop progress report. Even though harvest is behind on average, there is no concern in the market that there will be any problems getting the crop out of the field. Basis is still flat as farmers won't sell corn right now unless they absolutely have to. While some may sell due to space constraints or a cash need, the market is not seeing that as big factor right now.

SOYBEANS:

The DTN National Soybean Index for Wednesday indicated a national average basis of 79 cents under the Chicago November futures contract, 1 cent stronger than Tuesday's basis. Soybeans closed unchanged in the spot month, but pressure is still being felt from the ongoing harvest. Cash movement is also pressuring the market and basis remains steady even as farmers continue to sell new crop beans to keep room for corn at home. Farmers in the Upper Midwest are pushing to get beans off as snow is forecasted to cover Minnesota, eastern North and South Dakota and northern Iowa in to Friday.

SOFT RED WINTER WHEAT:

The DTN National Soft Red Winter Wheat Index for Wednesday indicated a national average basis of 38 cents under the Chicago December futures, unchanged from Tuesday's basis.

HARD RED WINTER WHEAT:

The DTN National Hard Red Winter Wheat Index for Wednesday indicated a national average basis of 72 cents under the Kansas City December futures contract, 1 cent stronger than Tuesday's basis. The spot premium for 12% through 12.4% protein was up 7 to cents as mills keep buying cars that show up for sale. Domestic rail basis is firm and to arrive basis for 11.5% milling quality delivered to the PNW was up 5 cents at +170KCZ. More than one report has surfaced that Brazil Ag ministry is looking to import 750,000 metric tons of duty free wheat because of their disappointing harvest. There is a 10% tariff attached to non SA Mercosur countries; this has been waived in the past when Brazil is needy for wheat.

HARD RED SPRING WHEAT:

The DTN National Hard Red Spring Wheat Index for Wednesday indicated a national average basis of 39 cents under the Minneapolis December futures contract, 1 cent stronger than Tuesday's basis. The Minneapolis spot HRS wheat cash market closed as follows, basis the Minneapolis December futures contract for #1 milling quality: 12% proteins were not quoted; 13% proteins were not quoted; 13.5% proteins were up 25 cents at +125; 14% proteins were up 5 cents to unchanged at +135* to +150; 14.5% proteins were not quoted and 15% proteins were unchanged at +160N to +170. Receipts were 47 cars, which included one train*. (Bid=B Ask=A) Wheat on the MGEX floor is traded delivered Chicago/beyond.

Mary Kennedy can be reached at mary.kennedy@dtn.com

Follow Mary Kennedy on Twitter @MaryCKenn

(BAS)

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