Rain fell in western Saskatchewan and parts of Alberta today, but canola rose a little on ideas that the recent decline was over done.
Today’s rain complemented rain Thursday in northeastern Saskatchewan and areas around Edmonton and north.
Also, rising soy oil and the falling Canadian dollar supported canola. Soy oil rose when buyers stepped into the market after the August contract hit a three-month low.
The loonie fell below US77 cents on weakness in the Canadian economy and talk from a few analysts that the Bank of Canada might trim interest rates again this year, even as the U.S. Federal Reserve is expected to raise rates this fall.
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Alberta crop conditions improve: report
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November canola closed at $521.40, up $4.40 or 0.85 percent. Canola also enjoyed some technical support when the November contract failed to fall below the July low or the 30-day moving average
Over the week, November canola fell $13.50 or 2.5 percent as the number of rain showers increased on the Prairies and soybeans dipped as the Midwest began to dry out after an exceptionally wet June.
After the recent sharp declines, domestic canola crushing bounced back in the last week, helped by the weaker canola price and the weaker loonie.
The Canadian Oilseed Processors Association said members crushed 168,513 tonnes of canola in the week ending July 15, up 35 percent from the week before.
That represented a capacity use of 84.4 percent, an improvement over the year to date pace of 81.5 percent.
For the week, the front-month CBOT soybean contract fell 2.8 percent, its second straight weekly decline and the biggest in eight weeks,
Soy meal futures fell 1.3 percent during the week, snapping a five-week rally.
Soy oil futures were down 1.9 percent this week.
Corn fell hard on Friday, down two percent on improving weather in the Midwest. Drier weather is helping the eastern corn belt and in western areas that were a bit dry, it rained.
For the week, the nearby corn contract fell 3.2 percent.
Corn is entering its critical pollination phase.
Wheat fell on ideas that American wheat is too expensive relative to competing exporters. The stronger U.S. buck today makes American wheat more expensive for foreign buyers.
On the week, the nearby Chicago contract fell 3.7 percent.
In Russia, 10 percent of the harvest is complete and yields so far are better than last year.
In France, 38 percent of the soft wheat harvest is complete.
Strategie Grains, a consultancy, on Thursday lowered its EU soft wheat forecast for the second month in a row, shaving off 700,000 tonnes to put the crop at 140.9 million tonnes.
That was close to the EU’s official forecast of 140 million tonnes, which would be down from a record 149 million in 2014 but still one of the biggest-ever EU crops, Reuters reported.
Annual inflation in Canada in June was one percent last month, up from 0.9 percent in May and in line with analysts’ forecasts.
Consumers paid 3.4 percent more for food than the same period a year earlier. Prices for food bought in stores were up 3.6 percent, due to the higher cost of meat, Reuters reported.
Light crude oil nearby futures in New York were down two cents to US$50.89 per barrel.
The Canadian dollar at noon was US76.93 cents, down from 77.29 cents the previous trading day. The U.S. dollar at noon was C$1.2998.
The Toronto Stock exchange composite index fell 88.24 points or 0.6 percent to 14,642.84.
On the week the TSX rose 1.6 percent.
The Dow Jones industrial average today fell 33.8 points, or 0.19 percent, to 18,086.45, the S&P 500 gained 2.33 points, or 0.11 percent, to 2,126.62 and the Nasdaq Composite added 46.96 points, or 0.91 percent, to 5,210.14.
The Nasdaq rose 4.3 percent for the week.
Winnipeg ICE Futures Canada dollars per tonne
Canola Nov 2015 521.40 +4.40 +0.85%
Canola Jan 2016 521.50 +5.00 +0.97%
Canola Mar 2016 518.10 +5.60 +1.09%
Canola May 2016 513.30 +5.90 +1.16%
Canola Jul 2016 507.30 +6.00 +1.20%
Milling Wheat Oct 2015 234.00 -3.00 -1.27%
Milling Wheat Dec 2015 234.00 -3.00 -1.27%
Milling Wheat Mar 2016 237.00 -3.00 -1.25%
Durum Wheat Oct 2015 335.00 unch 0.00%
Durum Wheat Dec 2015 345.00 unch 0.00%
Durum Wheat Mar 2016 360.00 unch 0.00%
American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound
Chicago
Barley Oct 2015 218.40 unch 0.00%
Barley Dec 2015 220.40 unch 0.00%
Barley Mar 2016 222.40 unch 0.00%
Soybeans Aug 2015 1014.75 -4.25 -0.42%
Soybeans Sep 2015 1005.75 -4.5 -0.45%
Soybeans Nov 2015 1006.75 -4.25 -0.42%
Soybeans Jan 2016 1012.75 -4.5 -0.44%
Soybeans Mar 2016 1007.25 -6.75 -0.67%
Soybeans May 2016 999 -7.5 -0.75%
Soybean Meal Aug 2015 361.1 -2.5 -0.69%
Soybean Meal Sep 2015 353 -2.6 -0.73%
Soybean Meal Oct 2015 348.5 -2.2 -0.63%
Soybean Oil Aug 2015 31.78 +0.32 +1.02%
Soybean Oil Sep 2015 31.87 +0.33 +1.05%
Soybean Oil Oct 2015 31.94 +0.33 +1.04%
Corn Sep 2015 420.25 -9.75 -2.27%
Corn Dec 2015 431.25 -9.75 -2.21%
Corn Mar 2016 441.5 -9.5 -2.11%
Corn May 2016 447.25 -9 -1.97%
Corn Jul 2016 451.25 -8.5 -1.85%
Oats Sep 2015 250.25 -6 -2.34%
Oats Dec 2015 262.5 -6 -2.23%
Oats Mar 2016 274.5 -5 -1.79%
Oats May 2016 277.5 -4.75 -1.68%
Oats Jul 2016 278.5 -4.75 -1.68%
Wheat Sep 2015 554 -8.25 -1.47%
Wheat Dec 2015 563.5 -7.5 -1.31%
Wheat May 2016 576 -6.5 -1.12%
Wheat Jul 2016 576.25 -4.75 -0.82%
Minneapolis
Spring Wheat Sep 2015 574.75 -7.25 -1.25%
Spring Wheat Dec 2015 591 -7.25 -1.21%
Spring Wheat Mar 2016 605.25 -6.5 -1.06%
Spring Wheat May 2016 614.25 -5.75 -0.93%
Spring Wheat Jul 2016 620.25 -5.25 -0.84%
Kansas City
Hard Red Wheat Sep 2015 546.5 -6.75 -1.22%
Hard Red Wheat Dec 2015 566 -7 -1.22%
Hard Red Wheat Mar 2016 580.25 -6.5 -1.11%
Hard Red Wheat May 2016 588.75 -6.25 -1.05%
Hard Red Wheat Jul 2016 595 -5.75 -0.96%
