Basis steady to up as futures recover
Spot basis bids for hard red winter wheat were steady to higher in a spot check of locations in the southern U.S. Plains on Wednesday as futures edged up.
Farmer selling picked up in some locations with futures recovering from three sessions of falls, according to dealers.
K.C. September hard red winter wheat (KWU25) fell to a new contract low of $5.03-1/4 before settling up 7 cents to $5.11-1/2 a bushel.
Protein premiums for railcar wheat shipped to and through Kansas City were unchanged for all grades of wheat.
Basis values are quoted against futures in cts/bu:
Current | Previous | Cash | |||||
basis | basis | price | |||||
KANSAS | |||||||
Wichita | -40 | + | U | -40 | + | U | $4.72 |
Newton | -65 | + | U | -65 | + | U | $4.47 |
Goodland | -75 | + | U | -75 | + | U | $4.37 |
TEXAS | |||||||
Gulf track* | 100 | + | U | 100 | + | U | $6.12 |
Galveston** | 100 | + | U | 100 | + | U | $6.12 |
OKLAHOMA | |||||||
Enid | -20 | + | U | -20 | + | U | $4.92 |
Catoosa | -5 | + | U | -25 | + | U | $5.07 |
NOTES:
H = March, K = May, N = July, U = September
Z = December; UNQ = Unquoted bids
0 = Sp Option price; NC = No comparison
* = No. 1 12% hard winter wheat, rail bids
** = Ordinary protein, rail bids
LINKS:
* K.C. HRW wheat protein scales
* U.S. weekly wheat crop progress
* U.S. forward basis (WHEAT/BASIS)
* U.S. Midwest cash grain PM
* U.S. CIF Gulf Grain
* U.S. FOB Gulf Grain
