Soybean futures drag down canola and other crops

Soybeans fell late Thursday, mostly on technical signals but also on a slightly less hot forecast for the U.S. Midwest.

The falling soybean contract dragged canola and other crop futures lower.

August soybeans dropped about 3.5 percent and new crop November dropped almost 3.9 percent.

The decline in canola futures was less dramatic, with November down only one percent.

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The latest forecast for Midwest weather showed fewer days of extreme heat and perhaps a little more rain. The decline in soybean futures accelerated as they fell below the 30, 40 and 50-day moving averages.

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The decline in corn was also more modest with stronger than expected export demand providing support.

The USDA reported today that last week’s old-crop export sales were 667,800 tonnes and new-crop export sales were 687,800 tonnes, topping forecasts.

Wheat, however, saw disappointing exports.

Weekly sales totaled 317,700 tonnes, below forecasts that ranged from 400,000 to 600,000 tonnes. Wheat continues under pressure of high yields in the U.S. winter wheat harvest.

In Western Canada this afternoon, thunderstorms are moving across parts of Alberta and south of the TransCanada Highway in Saskatchewan.

A system Friday afternoon-Saturday could bring close to an inch or more of rain to parts of Alberta’s foothills and southern regions.

Warmer temperatures are expected across the Prairies next week.

Consultancy Strategie Grains on Thursday cut its forecast for 2016 soft wheat production in the European Union by 1.2 million tonnes to 145.5 million because of poor weather in top producer France, Reuters reported.

Prospects in Germany and Britain have also dimmed.

“There is now worry in a lot of west Europe that repeated rain in the spring and early summer will damage crop quality,” one German trader told Reuters.

“It looks like good quality wheat will be scarcer than expected.”

Light crude oil nearby futures in New York were up 93 cents to US$45.68 per barrel.

The Canadian dollar at noon was US77.43 cents, up from 77.13 cents the previous trading day. The U.S. dollar at noon was C$1.2915.

Strong quarterly results at JPMorgan Chase bank helped lift stock markets.

The TSX composite closed up 20.72 points, or 0.14 percent, at 14,514.52.

The Dow Jones industrial average rose 134.29 points, or 0.73 percent, to 18,506.41, the S&P 500 gained 11.32 points, or 0.53 percent, to 2,163.75 and the Nasdaq Composite added 28.33 points, or 0.57 percent, to 5,034.06.

Winnipeg ICE Futures Canada dollars per tonne

Canola Nov 2016 477.00 -5.20 -1.08%

Canola Jan 2017 484.20 -5.30 -1.08%

Canola Mar 2017 491.10 -4.70 -0.95%

Canola May 2017 495.30 -4.50 -0.90%

Canola Jul 2017 499.20 -4.40 -0.87%

Milling Wheat Oct 2016 211.00 unch 0.00%

Milling Wheat Dec 2016 215.00 unch 0.00%

Durum Wheat Oct 2016 274.00 unch 0.00%

Durum Wheat Dec 2016 277.00 unch 0.00%

Barley Oct 2016 155.00 +3.50 +2.31%

Barley Dec 2016 155.00 +3.50 +2.31%

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

Chicago

Soybeans Jul 2016 1111.50 -16.50 -1.46%

Soybeans Aug 2016 1083.75 -39.00 -3.47%

Soybeans Sep 2016 1073.25 -39.50 -3.55%

Soybeans Nov 2016 1062.25 -43.00 -3.89%

Soybeans Jan 2017 1061.00 -43.00 -3.89%

Soybeans Mar 2017 1045.50 -36.25 -3.35%

Soybean Meal Jul 2016 381.30 -7.20 -1.85%

Soybean Meal Aug 2016 373.20 -14.90 -3.84%

Soybean Meal Sep 2016 371.40 -15.00 -3.88%

Soybean Oil Jul 2016 31.12 +0.47 +1.53%

Soybean Oil Aug 2016 30.67 -0.06 -0.20%

Soybean Oil Sep 2016 30.80 -0.06 -0.19%

Corn Jul 2016 362.25 -3.50 -0.96%

Corn Sep 2016 357.75 -4.25 -1.17%

Corn Dec 2016 364.75 -5.00 -1.35%

Corn Mar 2017 372.50 -4.75 -1.26%

Corn May 2017 377.25 -4.75 -1.24%

Oats Jul 2016 217.00 -20.75 -8.73%

Oats Sep 2016 206.75 -3.00 -1.43%

Oats Dec 2016 203.75 -4.25 -2.04%

Oats Mar 2017 210.75 -1.50 -0.71%

Oats May 2017 215.25 -1.50 -0.69%

Wheat Jul 2016 421.75 -4.50 -1.06%

Wheat Sep 2016 434.00 -5.75 -1.31%

Wheat Dec 2016 458.50 -4.50 -0.97%

Wheat Mar 2017 479.75 -2.25 -0.47%

Wheat May 2017 492.25 -1.75 -0.35%

Minneapolis

Spring Wheat Jul 2016 487.75 unch 0.00%

Spring Wheat Sep 2016 500.00 -2.50 -0.50%

Spring Wheat Dec 2016 515.00 -2.25 -0.43%

Spring Wheat Mar 2017 529.75 -2.00 -0.38%

Spring Wheat May 2017 538.75 -2.50 -0.46%

Kansas City

Hard Red Wheat Jul 2016 406.00 -1.75 -0.43%

Hard Red Wheat Sep 2016 417.75 -4.75 -1.12%

Hard Red Wheat Dec 2016 443.75 -4.50 -1.00%

Hard Red Wheat Mar 2017 460.75 -4.25 -0.91%

Hard Red Wheat May 2017 471.50 -4.25 -0.89%

Chicago livestock futures in US¢/pound

Live Cattle (P) Aug 2016 112.72 +1.27 +1.14%

Live Cattle (P) Oct 2016 112.08 +1.73 +1.57%

Live Cattle (P) Dec 2016 113.35 +1.20 +1.07%

Feeder Cattle (P) Aug 2016 141.70 +2.42 +1.74%

Feeder Cattle (P) Sep 2016 141.10 +2.57 +1.86%

Feeder Cattle (P) Oct 2016 139.98 +2.28 +1.66%

Lean Hogs (P) Jul 2016 80.30 +0.13 +0.16%

Lean Hogs (P) Aug 2016 78.60 -0.60 -0.76%

Lean Hogs (P) Oct 2016 67.40 -0.15 -0.22%

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