By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Oct. 28 (MarketsFarm) – The ICE Futures canola market was mostly lower on Friday, with only the nearby November contract posting gains at the close as participants exited the front month ahead of its expiry.
The most-active January contract held rangebound during the session, testing support to the downside at one point before recovering off its session lows.
Declines in Chicago soyoil accounted for some spillover selling pressure, with Malaysian palm oil and European rapeseed futures also down. However, soybeans moved higher and soyoil finished well off its lows for the day. A softer tone in the Canadian dollar also provided some support.
Read Also
Canadian Financial Close: Loonie higher, TSX sets new record
Glacier FarmMedia – The Canadian dollar gained some ground on Friday and will end the week on a high note….
Farmers delivered nearly half a million tonnes of canola into the commercial pipeline during the week ended Oct. 23, according to the latest Canadian Grain Commission data. Exports and the domestic crush were both down slightly from the previous week but remained solid overall.
About 22,495 canola contracts traded on Friday, which compares with Thursday when 22,036 contracts changed hands. Spreading accounted for 16,582 of the contracts traded.
SOYBEAN futures at the Chicago Board of Trade moved higher on Friday, recovering from early losses as solid export demand provided support.
The United States Department of Agriculture announced private export sales of 126,000 tonnes of soybeans to China and an additional 198,000 tonnes to Spain Friday morning.
Conditions remain relatively favourable for good harvest progress across the Midwest over the next week, keeping a lid on the upside.
CORN held within a narrow range on Friday, settling with small losses as participants squared positions ahead of the weekend.
The European Commission lowered their estimate on the European corn crop by 600,000 tonnes, to 54.9 million tonnes, as the heat wave during the growing season hurt yields. The harvest is nearly complete in many areas, with only four per cent of corn still standing in France as of this past Monday.
WHEAT moved lower on Friday, with broad strength in the U.S. dollar making exports more expensive for international buyers.
Improving moisture conditions in the dry Southern Plains were bearish, as recent precipitation will help germination and may encourage a few more acres.
Crop conditions were also reportedly improving in Argentina. The Buenos Aires Grain Exchange upped their good-to-excellent rating for the country’s wheat crop by nine points, to 53 per cent.
