Cash grain prices jump as processors bid for supplies

Cash prices for US grains and soybeans rose Thursday as buyers scrambled to snap up limit inventories. Users of the crops, such as processors and ethanol plants, continued to raise purchase bids in an attempt to secure supplies, traders said. Farmers remained reluctant to sell because of projections for prices to rise above already lofty levels.

Cash and futures prices for grains have climbed this spring on concerns about strong demand draining supplies. Basis levels, or the difference between cash prices and futures, "continue to be quite firm," said Dave Marshall, an independent commodity broker in Illinois. "You still have some reasonably good underlying demand, particularly in the processing industry," he said. Read more ...

This blog is written by Martin Little, The Global Miller, published and supported by the GFMT Magazine and the International Milling Directory from Perendale Publishers