Strong U.S. domestic soybean crush and worries about Ukraine drove crop markets higher Tuesday.
Canola enjoyed the rise, climbing about 1.5 percent in old and new crop months.
The canola basis has also improved. ICE Futures Canada says the best basis has narrowed to $22.92 under the May contract. Last week it was at about $32 under May.
Wheat futures climbed by two to 3.4 percent, mostly on growing tension in Ukraine where the government is attempting to dislodge pro Moscow separatists who have taken over several government buildings in eastern Ukraine cities.
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U.S. grains: Soybean futures set two-week high on US weather worry, soyoil rally
Chicago Board of Trade soybean futures touched a two-week high on Friday on worries that heat may threaten U.S. crops and expectations that the country’s biofuel policy would boost demand for soyoil, analysts said.
Although the conflict has not disrupted Black Sea exports so far, the risk of problems grows.
Freezing weather in the U.S. Plains also supported wheat but so far the damage is expected to be minor.
Chicago wheat climbed above $7 per bushel, up 3.4 percent, enjoying technical support as it broke through the 20-day moving average.
Kansas City hard red winter and Minneapolis spring wheat were also up at least three percent.
A stronger than expected U.S. soybean weekly crush report supported soybean, meal and oil prices. It appears soybean prices were not high enough to ration demand of very tight domestic soybean stocks.
The rally in wheat helped lift corn but a forecast for warmer, dry weather by the end of the week limited gains as hopes climbed that Midwest seeding will soon get underway.
The cold, wet weather in many North American growing regions has been supporting crop prices.
Meanwhile, farmers in France and Germany are hoping for rain. A large area has had little rain since the start of March.
ICE Futures Canada, dollars per tonne
Canola May 2014 470.90 +6.90 +1.49%
Canola Jul 2014 479.90 +6.90 +1.46%
Canola Nov 2014 494.80 +7.50 +1.54%
Canola Jan 2015 501.70 +7.50 +1.52%
Canola Mar 2015 508.30 +7.30 +1.46%
Milling Wheat May 2014 225.00 +8.00 +3.69%
Milling Wheat Jul 2014 223.00 +8.00 +3.72%
Milling Wheat Oct 2014 226.00 +8.00 +3.67%
Durum Wheat May 2014 250.00 unch 0.00%
Durum Wheat Jul 2014 250.00 unch 0.00%
Durum Wheat Oct 2014 252.00 unch 0.00%
Barley May 2014 140.00 +1.50 +1.08%
Barley Jul 2014 138.00 +1.50 +1.10%
Barley Oct 2014 138.00 +1.50 +1.10%
American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound
Chicago
Soybeans May 2014 1501.25 +25 +1.69%
Soybeans Jul 2014 1487.5 +24 +1.64%
Soybeans Aug 2014 1409.5 +17.25 +1.24%
Soybeans Sep 2014 1290.5 +13.5 +1.06%
Soybeans Nov 2014 1229 +9 +0.74%
Soybeans Jan 2015 1234 +8.75 +0.71%
Soybean Meal May 2014 487.4 +8.3 +1.73%
Soybean Meal Jul 2014 474.4 +5.8 +1.24%
Soybean Meal Aug 2014 446.2 +3.8 +0.86%
Soybean Oil May 2014 42.83 +0.57 +1.35%
Soybean Oil Jul 2014 43.05 +0.59 +1.39%
Soybean Oil Aug 2014 42.9 +0.61 +1.44%
Corn May 2014 503.75 +0.75 +0.15%
Corn Jul 2014 509.75 +0.5 +0.10%
Corn Sep 2014 506.25 -0.5 -0.10%
Corn Dec 2014 503.25 -0.25 -0.05%
Corn Mar 2015 510.5 -0.5 -0.10%
Oats May 2014 399 -4.5 -1.12%
Oats Jul 2014 352.25 -5.25 -1.47%
Oats Sep 2014 341.25 +0.75 +0.22%
Oats Dec 2014 332.5 +0.25 +0.08%
Oats Mar 2015 331.5 +2 +0.61%
Wheat May 2014 701.75 +23 +3.39%
Wheat Jul 2014 709.75 +23 +3.35%
Wheat Sep 2014 718.75 +22.5 +3.23%
Wheat Dec 2014 731.5 +22.5 +3.17%
Wheat Mar 2015 743.5 +22.5 +3.12%
Minneapolis
Spring Wheat May 2014 738.5 +21.25 +2.96%
Spring Wheat Jul 2014 747.25 +21.5 +2.96%
Spring Wheat Sep 2014 753.25 +21.5 +2.94%
Spring Wheat Dec 2014 763.75 +20.5 +2.76%
Spring Wheat Mar 2015 771.5 +20.5 +2.73%
Kansas City
KC HRW Wheat May 2014 765.5 +23.5 +3.17%
KC HRW Wheat Jul 2014 771.5 +23.25 +3.11%
KC HRW Wheat Sep 2014 777.25 +22 +2.91%
KC HRW Wheat Dec 2014 786.75 +21.75 +2.84%
KC HRW Wheat Mar 2015 790.75 +21.5 +2.79%
Light crude oil nearby futures in New York fell 30 cents at $103.75 US per barrel.
The Bank of Canada noon rate for the loonie was 91.07 cents US, down from 91.16 cents the previous trading day. The U.S. dollar at noon was $1.0981 Cdn.
Data showed a slightly greater-than-expected gain in U.S. consumer prices in March, driven by higher food and rental housing costs. That lifted prices early, but then the so-called momentum stocks — high tech, internet, biotech — again wavered. However, prices were climbing again late in the session.
In late session trade the TSX composite was up 23.84 points or 0.17 percent at 14,308.27.
Also in late session trade, the Dow Jones was up 74 points at 16,170.00 the S&P 500 was up 11.00 points at 1,835.50 and the Nasdaq was up 12.75 points 3,483.00.
