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Spot barge rates at St. Louis reached $23.34 per ton on Aug. 29, up 49% week over week and 85% above the three-year average, according to USDA.
Restrictions on barge loading since June, caused by low Mississippi River water levels, have reduced the grain each barge can carry.
Tighter barge capacity raises freight costs for corn and soybeans moving down the river during harvest, which widens basis and lowers farm-gate prices. Buyers should expect higher delivered feed costs and weaker interior prices if the low water persists.
supplychaindive.comSarah ZimmermanSep 7, 2023Not enough comparable past events yet for a historical read.
After 359 past bearish logistics events, Corn moved a median -0.3% over 5 sessions (44% higher; middle half -1.5% to +1.5%), and -0.5% over 20.
After 297 past bearish logistics events, Soybeans moved a median +0.3% over 5 sessions (54% higher; middle half -1.5% to +1.8%), and +0.7% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
