By Doug Tenney, Leist Mercantile
Corn basis for fall 2019 and into January-March 2020 has been relatively flat for months. Numerous Ohio locations have the nearby corn basis at anywhere from 10 to 40 cents over the December CBOT. Flat price levels from fall into January often only provided a gain of 10 to 15 cents compared to that of past years when the gain could have approached 30 cents or more. Producers seem content to sock as much corn away as possible into home storage bins with the anticipation of higher prices down the road.
Soybean basis on the other hand late October and early November saw improvements in numerous facilities across Ohio of 10 to 20 cents for nearby delivery as the harvest wound to completion. Also, deliveries for January to March had basis improvement of 5 to 10 cents.
Demand bears have been most pleased to see corn prices stall and retreat the last two weeks of October.… Continue readingRead More »