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The USDA Grain Transportation Report of April 4, 2019 describes severe Midwest flooding from mid-March that disrupted rail and barge operations. Railroads are restoring service but some outages remain, and Mississippi River lock closures limit barge transit.
Slower rail and barge movement widens basis discounts at interior elevators and raises freight costs, while flood losses to stored grain and livestock tighten local supplies.
doi.orgKuo-Liang, Peter Caffarelli, PeteraApr 4, 2019After 230 past neutral logistics events, Soybeans moved a median +0.4% over 5 sessions (55% higher; middle half -1.4% to +2.0%), and +0.1% over 20.
After 284 past neutral logistics events, Corn moved a median -0.0% over 5 sessions (49% higher; middle half -1.3% to +1.4%), and -0.2% over 20.
Not enough comparable past events yet for a historical read.
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.
