Canola up ahead of long weekend

Winnipeg (CNS Canada) – ICE Futures Canada canola contracts were stronger on Friday, as traders adjusted positions ahead of the long weekend.

Many Canadian markets will be closed for provincial holidays on Monday, including Louis Riel Day in Manitoba and Family Day elsewhere. Meanwhile, U.S. markets will also take a long weekend for Presidents Day.

With plenty of time for adjustments to South American weather forecasts or other market moving developments over the weekend, traders were looking to square positions on Friday, according to participants.

Weakness in the Canadian dollar and the fact that canola had lagged Chicago soybeans to the upside earlier in the week were also supportive.

However, the CBOT soy complex was softer on Friday, which tempered the advances in canola. Large old crop supplies and expectations for increased seeded area this spring also weighed on values.

About 25,676 canola contracts traded on Friday, which compares with Thursday when 16,249 contracts changed hands. Spreading accounted for 21,892 of the contracts traded.

SOYBEAN at the Chicago Board of Trade were lower on Friday, seeing a profit-taking correction after posting gains for most of the past week.

Relatively favourable Brazilian crop prospects and forecasts calling for light rains in parts of Argentina over the weekend also weighed on values. However, conditions remain hot and dry for the most part across Argentina, which kept some caution in the futures ahead of the long weekend.

Chinese markets were also closed for the Lunar New Year, further limiting some of the activity in the U.S. grains and oilseeds.

CORN futures settled near unchanged. After solid weekly export sales underpinned corn yesterday, the market found continued support on Friday from news of a private sale of 116,000 tonnes of US corn to Japan.

However, large supplies, increased farmer selling, and spillover from losses in wheat put some pressure on values.

WHEAT markets were mostly lower on Friday, with chart-based speculative selling a feature as traders squared positions ahead of the weekend.

Poor export demand also weighed on prices, as U.S. wheat exports are running well off last year’s pace.

However, continued dryness concerns across the U.S. Plains remained supportive with little meaningful precipitation in the nearby forecasts.

OUTSIDE MARKETS

Light crude oil nearby futures in New York were up 34 cents at US$61.68 per barrel.

In the afternoon, the Canadian dollar was trading around US79.65 cents, down from 80.07 cents the previous trading day. The U.S. dollar was C$1.2555.

 

Winnipeg ICE Futures Canada dollars per tonne.

Canola Mar 18 503.10s +1.90 +0.38%

Canola May 18 508.20s +2.40 +0.47%

Canola Jul 18 513.70s +3.30 +0.65%

Canola Nov 18 506.90s +1.80 +0.36%

Canola Jan 19 511.50s +1.80 +0.35%

 

American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound. Prices are displayed with fractions (2/8, 4/8, and 6/8) instead of decimals. -2 equals .25, -4 equals .50, -6 equals .75. The “s” means it is the settlement.

 

Chicago

Soybeans Mar 18 1021-4s -2-6 -0.27%

Soybeans May 18 1032-4s -2-4 -0.24%

Soybeans Jul 18 1042-2s -2-4 -0.24%

Soybeans Aug 18 1043-2s -2-4 -0.24%

Soybeans Sep 18 1030-6s -2-2 -0.22%

 

Soybean Meal Mar 18 373.3s -0.4 -0.11%

Soybean Meal May 18 376.0s +0.5 +0.13%

Soybean Meal Jul 18 373.8s +1.6 +0.43%

 

Soybean Oil Mar 18 31.54s -0.16 -0.50%

Soybean Oil May 18 31.73s -0.17 -0.53%

Soybean Oil Jul 18 31.92s -0.19 -0.59%

 

Corn Mar 18 367-4s -0-2 -0.07%

Corn May 18 375-0s -0-4 -0.13%

Corn Jul 18 382-6s -0-2 -0.07%

Corn Sep 18 389-4s -0-2 -0.06%

Corn Dec 18 397-0s -0-4 -0.13%

 

Oats Mar 18 267-6s -0-6 -0.28%

Oats May 18 271-6s +1-2 +0.46%

Oats Jul 18 270-6s +0-6 +0.28%

Oats Sep 18 268-2s +0-6 +0.28%

Oats Dec 18 267-6s +1-0 +0.37%

 

Wheat Mar 18 457-6s -4-0 -0.87%

Wheat May 18 471-4s -3-6 -0.79%

Wheat Jul 18 486-4s -3-4 -0.71%

Wheat Sep 18 502-4s -3-0 -0.59%

Wheat Dec 18 523-2s -2-6 -0.52%

 

Minneapolis

Spring Wheat Mar 18 605-2s -3-2 -0.53%

Spring Wheat May 18 615-6s -3-0 -0.48%

Spring Wheat Jul 18 624-2s -3-2 -0.52%

Spring Wheat Sep 18 631-0s -2-6 -0.43%

Spring Wheat Dec 18 639-0s -2-2 -0.35%

 

Kansas City

Hard Red Wheat Mar 18 478-4s +0-4 +0.10%

Hard Red Wheat May 18 493-4s +0-4 +0.10%

Hard Red Wheat Jul 18 510-4s unch unch

Hard Red Wheat Sep 18 527-6s -0-2 -0.05%

Hard Red Wheat Dec 18 548-2s -1-0 -0.18%

 

Chicago livestock futures in US¢/pound, Pit trade

Live Cattle Feb 18 130.100s +0.825 +0.64%

Live Cattle Apr 18 127.650s +0.400 +0.31%

Live Cattle Jun 18 118.675s +0.075 +0.06%

 

Feeder Cattle Mar 18 149.725s -0.100 -0.07%

Feeder Cattle Apr 18 152.400s +0.100 +0.07%

Feeder Cattle May 18 152.825s -0.025 -0.02%

 

Lean Hogs Apr 18 68.150s -1.575 -2.26%

Lean Hogs May 18 74.925s -0.975 -1.28%

Lean Hogs Jun 18 79.725s -0.475 -0.59%

 

Markets at a glance

explore

Stories from our other publications