Crop Basis Tool

The Purdue Center for Commercial Agriculture’s Crop Basis Tool can be used to examine weekly nearby and deferred basis for corn and soybeans in Illinois, Indiana, Michigan, and Ohio. Daily cash price data from individual grain elevators and processors are averaged within each crop reporting district to create a regional average cash price series. The regional average cash price data is used to compute weekly basis (cash price minus futures price) for corn and soybeans, using Wednesday cash and futures prices to generate weekly basis data for each crop and crop reporting region. The number of buyers vary by crop reporting district and by week, depending on how many buyers choose to report their cash prices. Cash price data are provided by DTN and represent approximately 2,000 buyers across the four states.

To facilitate comparisons across years in the Crop Basis Tool, a crop year is defined as having 48 weeks with four weeks per month. When a month has five Wednesdays, prices from the fourth and fifth Wednesdays are averaged and reported as the fourth week. As a result, Week = 1 is the first week of September (beginning of the crop year), Week = 5 is the first week of October, and so on.

Latest Update (11/04/2022): As harvest continues to roll on, basis across much of the Eastern Corn Belt has firmed, as expected. For example, average soybean basis in southwest Indiana reached a low of $0.92/bu. under January ’23 soybean futures during the last week of October. This week soybean basis in southwest Indiana improved $0.35/bu. to $0.57/bu. under January ’23 soybean futures, which is $0.26 weaker than the historical 5-year average soybean basis for the first week of November. Similarly, average corn basis in southwest Indiana reached a low of $0.38/bu. under December ’22 corn futures during the second week of October. In the past 3 weeks corn basis in southwest Indiana has improved $0.15/bu. to $0.23/bu. under December ’22 corn futures, which is $0.13/bu. weaker than the historical 5-year average corn basis for the first week of November. As harvest wraps up we expect basis to continue to improve. Visit the Purdue Crop Basis Tool to check current corn and soybean basis levels and historical basis trends for your local area.

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