WINNIPEG–The ICE Futures canola market settled with small losses on Tuesday after trading to both sides of unchanged in choppy activity.
The most-active November contract had gained nearly C$10 per tonne at one point before eventually running into resistance to end C$4 lower on the day.
While dryness concerns in parts of Western Canada provided underlying support, some areas are forecast to see some much-needed rain over the next week.
Chicago soybeans traded to both sides of unchanged as well, providing little direction, while both soyoil and European rapeseed futures were lower. The Canadian dollar was slightly softer on the day.
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About 44,012 canola contracts traded on Tuesday, which compares with Monday when 23,813 contracts changed hands. Spreading accounted for 23,562 of the contracts traded.
SOYBEAN futures at the Chicago Board of Trade were mixed on Tuesday as activity resumed after Monday’s Juneteenth holiday and participants digested the shifting Midwestern weather forecasts.
A meeting between United States Secretary of State Antony Blinken and Chinese President Xi Jinping on Monday was generally seen as constructive. While no official policy announcements came out of the meeting, the fact the two countries were talking was seen as positive for exports down the road.
The U.S. Department of Agriculture’s weekly condition ratings are delayed by a day, with downgrades to the quality ratings for soybeans expected.
While much of the eastern Corn Belt remains on the dry side, there has been moisture to the west, and shifting long term outlooks could easily see drier areas get some much-needed precipitation.
CORN also bounced around in choppy weather-related activity, ending narrowly mixed.
Corn quality ratings are also expected to drop in today’s report.
WHEAT was mixed as well, with gains in Chicago soft wheat and losses in the Minneapolis and Kansas City hard red wheats.
While the U.S. winter wheat harvest is progressing, recent rains in some areas likely caused delays.
Meanwhile, spring wheat quality ratings are expected to edge down in today’s crop report.
The ongoing conflict in Ukraine remains at the forefront of the wheat market.
