When barge traffic slows, soybean basis suffers

An Arkansas Extension article says halted barge traffic on the Mississippi, whether from flooding or drought, tends to weaken soybean basis. Last October, low river levels pushed soybean basis to $1.25 under harvest futures, a dollar below the five-year average.

In April, a flood spike to 23 feet at McGregor, Iowa pushed basis negative at Elaine, Arkansas before it recovered to zero.