DTN Daily Basis Comments
Friday Morning Basis Update
The national average basis for corn was 1 cent stronger at 32 cents under the May futures contract and the DTN National Corn Index was down 1 cent at $3.50. The national average basis for soybeans was 1 cents stronger at 70 cents under the May futures contract while the DTN National Soybean Index was down 3 cents at $9.68. The national average basis for HRW wheat was unchanged at 39 cents under the May futures contract and the DTN National Hard Red Winter Wheat Index was up 7 cents at $4.56. The national average basis for HRS wheat was 1 cent weaker at 11 cents under the May futures contract and the DTN National Hard Red Spring Wheat Index was down 5 cents at $6.02.
DAILY BASIS CHART:
| DTN Cash | Change From | National | Contract | Change from | |
| Commodity | Index | Prev Day | Avg. Basis | Month | Prev Day |
| Corn: | $3.50 | -$0.01 | -$0.32 | May | $0.005 |
| Soybeans: | $9.68 | -$0.03 | -$0.70 | May | $0.011 |
| SRW Wheat: | $4.47 | $0.02 | -$0.30 | May | $0.007 |
| HRW Wheat: | $4.56 | $0.07 | -$0.39 | May | $0.000 |
| HRS Wheat: | $6.02 | -$0.05 | -$0.11 | May | -$0.004 |
The DTN National Corn Index for Thursday indicated a national average basis of 32 cents under the Chicago May futures contract, 1 cent stronger than Wednesday's basis. The corn market moved lower in spite of strong weekly exports reported by the USDA Thursday for the week ending April 12. However, while exports came in near the high end of market expectations, cumulative shipments remain behind the pace needed to meet USDA forecasts. The market is looking ahead to the forecasts for warmer temps, which should allow corn planting to start in areas where snow cover is not an issue. The basis for BN shuttles delivered to the PNW was stronger as secondary shuttle freight is on the rise again. While the BNSF has recovered from recent service interruptions, they are expecting slowdowns along the main route in northern Montana due to maintenance. That, along with the CP strike starting Saturday, could keep PNW basis firm.
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The DTN National Soybean Index for Thursday indicated a national average basis of 70 cents under the Chicago May futures contract, 1 cent stronger than Wednesday's basis. Soybeans were lower in part due to weekly export sales reported for the week showing that cumulative shipments for this crop year remain behind the USDA forecast. The stronger U.S. dollar added pressure along with uncertainty over China's next move after they imposed preliminary anti-dumping tariffs of 178.6% on U.S. sorghum. Processor basis was stronger as plants are willing to push bids to acquire old crop beans. River basis has firmed after barge freight broke and moved lower this week.
SOFT RED WINTER WHEAT:The DTN National Soft Red Winter Wheat Index for Thursday indicated a national average basis of 30 cents under the Chicago May futures, 1 cent stronger than Wednesday's basis.
HARD RED WINTER WHEAT:The DTN National Hard Red Winter Wheat Index for Thursday indicated a national average basis of 39 cents under the Kansas City May futures contract, unchanged from Wednesday's basis. The cash price was higher due to the market uncertainty how much rain will hit the parched areas of the western Plains. However, the market will likely pull back heading in to the weekend as rain is forecast. The KC spot premiums for 11.4% through 11.*5 were 4 cents stronger and 12.2$ was 1 cent stronger. There was talk in the market Thursday that a terminal elevator made a push to buy wheat yesterday to fill space, raising bids 15 cents for old crop and new crop delivery. Export sales were dismal once again and as we head to the end of the crop year, we may not make the total that the USDA has forecasted.
HARD RED SPRING WHEAT:The DTN National Hard Red Spring Wheat Index for Thursday indicated a national average basis of 11 cents under the Minneapolis May futures contract, 1 cent weaker than Wednesday's basis. The Minneapolis spot hard red spring wheat cash market closed as follows, basis the Minneapolis May futures contract for #1 milling quality: 12% proteins were at +60N; 13% proteins were not quoted; 13.5% proteins were up 5 cents at +135; 14% proteins were down 30 cents to down 25 cents at +160* to +165; 14.5% proteins were not quoted and 15% proteins were up 15 cents to unchanged at +200. Receipts were 48 cars, which included one trains.* (Bid=B Ask=A Nominal=N) Wheat on the MGEX floor is traded delivered Chicago/beyond.
Mary Kennedy can be reached at mary.kennedy@dtn.com
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