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WEEKLY BASIS REVIEW: Cash Market Faces Start to March Deliveries

Initial deliveries may be light.
Bryce Knorr 
Published: Feb 26, 2009

Cheaper transportation costs are continuing to paint a brighter basis picture for producers holding old crop inventory, but gains in some areas took a break this week for the start of deliveries on March futures.

While cash soybean prices along the Illinois River, the main delivery location, remain above the board, corn values slipped under futures thanks to the presence of large registered supplies that could be put out on first notice day Friday. However, if the pattern of recent delivery periods holds, initial deliveries may be light, only to swell in a day or two.

Soybean deliveries are not expected, with only four lots registered. Strong recent shipments have kept end users scrambling to obtain supplies.

To read Bryce Knorr's complete weekly basis review, click HERE.



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