Canola futures close little changed after volatile trading day

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Published: June 24, 2013

Monday was a yo-yo day in the crop futures markets, with crops such as canola first falling and then rising.

At the end of the day, canola prices were barely changed, revealing little of the day’s market volatility.

November canola futures closed at $557.70 per tonne, $1.80 above the Friday close. Overnight canola plunged to $547 in early trading, but then recovered to only slightly beneath the Friday close for a few hours, then strongly rallied to as high as $560, before settling back towards the close.

Tuesday Statistics Canada reports on Canadian seeded acreage.

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Canola values are being helped by reports of mixed and non-optimal growing conditions in Western Canada, with the wild rains of the past week challenging crop prospects from Alberta to Manitoba.

Soybeans were strong Monday, supported by tight old crop stocks and the need to ration supply. Soybean oil lost money on the day.

Soft red winter and hard red winter wheat, as well as corn, were sharply down Monday. Corn is enjoying generally good growing weather and the winter wheat harvest has begun.

But hard red spring wheat suffered only small losses, as production challenges in spring wheat areas worried traders. USDA reports on seeded area on Friday and the data is expected to show North Dakota farmers unable to plant significant acreages.

In general, world markets were in a tizzy Monday, with a big sell-off in Chinese markets sparking sympathetic sell-offs in most world equity markets. Independently, the central banks of China and the United States are talking about tightening the money supply

As the day wore on, optimism returned to the markets, pushing stock prices higher and recovering much of the early losses.

The Dow Jones Industrial Average fell almost 250 points at the open but crawled back to end the day within 75 points of the Friday close.

Crude oil was early in the red, but ended up slightly higher on the day, in contrast to most commodities, which like most crops ended up moderately weaker.

 

Winnipeg ICE Futures Canada dollars per tonne

 

Canola Jul 2013       606.40       +0.70       +0.12%

Canola Nov 2013       557.70       +1.80       +0.32%

Canola Jan 2014       561.60       +1.50       +0.27%

Canola Mar 2014       560.00       +0.90       +0.16%

Canola May 2014       557.50       +1.00       +0.18%

 

Milling Wheat Jul 2013       294.00       unch       0.00%

Milling Wheat Oct 2013       294.00       unch       0.00%

Milling Wheat Dec 2013       294.00       unch       0.00%

 

Durum Wheat Jul 2013       301.90       unch       0.00%

Durum Wheat Oct 2013       294.90       unch       0.00%

Durum Wheat Dec 2013       299.40       unch       0.00%

 

Barley Jul 2013       244.00       unch       0.00%

Barley Oct 2013       194.00       unch       0.00%

Barley Dec 2013       199.00       unch       0.00%

 

American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound

 

Chicago

Soybeans Jul 2013       1512       +18.75       +1.26%

Soybeans Aug 2013       1421.25       +7.5       +0.53%

Soybeans Sep 2013       1316.75       +1       +0.08%

Soybeans Nov 2013       1273.5       unch       0.00%

Soybeans Jan 2014       1276.75       +0.25       +0.02%

Soybeans Mar 2014       1276.5       +3.25       +0.26%

 

Soybean Meal Jul 2013       451       +3.3       +0.74%

Soybean Meal Aug 2013       422.6       +3       +0.71%

Soybean Meal Sep 2013       399       +1.1       +0.28%

 

Soybean Oil Jul 2013       47.55       -0.47       -0.98%

Soybean Oil Aug 2013       47.54       -0.43       -0.90%

Soybean Oil Sep 2013       47.16       -0.4       -0.84%

 

Corn Jul 2013       653.25       -8.5       -1.28%

Corn Sep 2013       579       -13       -2.20%

Corn Dec 2013       546.5       -9.75       -1.75%

Corn Mar 2014       557       -10       -1.76%

Corn May 2014       564.25       -9.5       -1.66%

 

Oats Jul 2013       392.25       -3.25       -0.82%

Oats Sep 2013       382.75       -5       -1.29%

Oats Dec 2013       376.25       -7.75       -2.02%

Oats Mar 2014       379.25       -8.25       -2.13%

Oats May 2014       381.5       -8.25       -2.12%

 

Wheat Jul 2013       679       -19       -2.72%

Wheat Sep 2013       687.75       -17.25       -2.45%

Wheat Dec 2013       702       -15       -2.09%

Wheat Mar 2014       716.25       -14.75       -2.02%

Wheat May 2014       725.25       -14.75       -1.99%

 

Minneapolis

Spring Wheat Jul 2013       811.25       -2.75       -0.34%

Spring Wheat Sep 2013       785.25       -6.25       -0.79%

Spring Wheat Dec 2013       793.75       -6.25       -0.78%

Spring Wheat Mar 2014       808       -5       -0.62%

Spring Wheat May 2014       814       -5.5       -0.67%

 

Kansas City

KCBT Red Wheat Jul 2013       715.25       -21.25       -2.89%

KCBT Red Wheat Sep 2013       719       -17       -2.31%

KCBT Red Wheat Dec 2013       737       -13.5       -1.80%

KCBT Red Wheat Mar 2014       750.5       -12.75       -1.67%

KCBT Red Wheat May 2014       754.5       -16       -2.08%

 

Light crude oil nearby futures in New York rose $1.49 at $95.18 US per barrel.

The Canadian dollar at noon was 94.95 cents US, down from 95.51 cents the previous trading day. The U.S. dollar at noon was $1.0532 Cdn.

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Ed White

Ed White

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