By Marlo Glass, MarketFarm
WINNIPEG, Aug. 19 (MarketsFarm) – Intercontinental Exchange (ICE) Futures canola contracts were steady on Wednesday, despite continued strength in the Canadian dollar.
The loonie was over 76 United States cents, reacting to weakness in the U.S. dollar. The strong dollar has kept pressure on canola prices as it makes canola exports less attractive globally.
Hot weather was forecast across most of the Canadian Prairies this week, and some market participants think the hot weather is injecting a weather premium into prices as the canola harvest is still a few weeks away in most regions.
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On Wednesday, 21,970 contracts were traded, which compares with Tuesday when 11,999 contracts changed hands. Spreading accounted for 13,350 contracts traded.
SOYBEAN futures at the Chicago Board of Trade (CBOT) were slightly stronger on Wednesday, due to continued export demand.
This morning, the USDA reported a sale of 192,000 tonnes of soybeans, purchased by China for delivery during the current marketing year.
The Pro Farmer crop tour found an average of just under 1,300 pods in a 3-foot square sample in Nebraska yesterday. That’s slightly higher than the average rate. In South Dakota, the pod count is around 1,251; Ohio’s pod count is at 1,156 and Indiana is at 1,281.
The firm will release their official estimates for soybean production in the coming weeks.
CORN futures were slightly weaker on Wednesday.
According to weekly data from the Energy Information Administration, ethanol production averaged 926,000 barrels per day last week.
That’s an increase of about 8,000 barrels per day, but still nearly 100,000 barrels per day lower than the same week last year.
Pro Farmer expected Nebraska’s corn yield to be around 175 bushels per acre, 179 bushels per acre in South Dakota, and 180 bushels per acre in Indiana.
WHEAT futures were stronger today.
Japan has issued its weekly tender for about 117,000 tonnes of wheat from the U.S., Canada, and Australia. Japan is also tendering for 80,000 tonnes of feed wheat.
Algeria has purchased 560,000 tonnes of optimal origin wheat.
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