Soybean basis -- the difference between local cash prices and futures prices at the Chicago Mercantile Exchange (CME) – reflects the strength or weakness in local demand for soybeans versus global demand for soybeans.  As shown in Figure 1, “normal” soybean basis in Iowa since 2011 has ranged between $2.27 over the futures to $1.22 under the futures – a whopping 3.49 range in basis. 

Figure 1....