November canola again tried to beak above $480 per tonne and hold but again failed and closed Thursday slightly lower.
November closed at $481.20, down $1.20.
It was a generally down day in crop markets with U.S. traded grains under pressure from a stronger U.S. dollar and rain reaching the U.S. southern Plains wheat belt as well as showers in Ukraine and southern Russia.
Commercial hedge pressure was a feature of the canola trade as farmers took advantage of the modest rally Wednesday to sell crop.
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Chicago Board of Trade corn futures extended slight gains on Tuesday as short covering and bargain buying continued to support a rebound from contract lows reached during the previous session.
Any attempted rally is limited by ideas that the canola crop supply is ample, soybean harvest in the U.S. is rapidly advancing and the South American soybean crop is expected to be record large. Rain is expected in Brazil soon and that should increase the pace of seeding. Local analysts Agroconsult’s forecast for the season is for a 100.6 million tonne soy crop, up from 96.2 million last year.
Rain is falling in western Kansas, Oklahoma and Texas today, helping the newly seeded hard red winter wheat crop
The rain is expected to move eastward providing coverage to the whole hard red wheat region. Accumulations in central Texas could cause flooding but the main wheat area is farther north.
The U.S. dollar hit a three-week high against the euro after European Central Bank president Mario Draghi said it was considering further interest rate cuts to stimulate the euro zone economy.
Reuters reported Argentine farmers are expected to plant 5.3 million hectares of corn in the 2015-16 season, down from six million in the previous crop year, the agriculture ministry said in its monthly report on Thursday.
AccuWeather yesterday forecast a dry and mild winter for most of the Prairies, noting that a strong El Nino is expected to persist through the winter.
“In eastern British Columbia and western Alberta, snowfall will underachieve this winter. The majority of the snow in this region will fall during the first half of the winter before a drier pattern sets up during January and February.
“Drier and milder weather will be a dominant theme across the Prairie region this winter as the Polar jet stream gets displaced farther to the north.
“This pattern will greatly limit the amount and duration of Arctic air masses that normally impact the region.”
It said average temperatures could be as much as three degrees Celsius above normal this winter in cities such as Edmonton, Calgary and Regina.
Significant snowfalls will be few and far between across the region, as the primary storm track will generally remain farther south across the central and southern U.S., Accuweather said.
Light crude oil nearby futures in New York were up US18 cents to US$45.38 per barrel.
The Canadian dollar at noon was US76.41 cents, up from 76.24 cents the previous trading day. The U.S. dollar at noon was C$1.308.
U.S. stock markets were higher, lifted by strong quarterly results from McDonalds and Dow Chemical and the talk about stimulus in the Euro community.
Canadian Retail sales rose by 0.5 percent in August, beating economists’ forecast of a 0.1 percent gain, fueled by stronger auto sales. It was the fourth monthly gain.
In an early tally, the Toronto Stock Exchange’s S&P/TSX closed at 13,878.11, up 173.92 or 1.27 percent.
The Dow Jones industrial average rose 321.25 points, or 1.87 percent, to 17,489.86, the S&P 500 gained 33.61 points, or 1.66 percent, to 2,052.55 and the Nasdaq Composite added 79.93 points, or 1.65 percent, to 4,920.05.
Winnipeg ICE Futures Canada dollars per tonne
Canola Jan 2016 481.20 -1.20 -0.25%
Canola Mar 2016 485.20 -1.60 -0.33%
Canola May 2016 485.80 -2.50 -0.51%
Canola Jul 2016 484.00 -3.30 -0.68%
Milling Wheat Dec 2015 229.00 +2.00 +0.88%
Milling Wheat Mar 2016 234.00 +2.00 +0.86%
Milling Wheat May 2016 238.00 +2.00 +0.85%
Durum Wheat Dec 2015 340.00 +5.00 +1.49%
Durum Wheat Mar 2016 345.00 +5.00 +1.47%
Durum Wheat May 2016 350.00 +5.00 +1.45%
Barley Dec 2015 185.00 unch 0.00%
Barley Mar 2016 187.00 unch 0.00%
Barley May 2016 188.00 unch 0.00%
American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound
Chicago
Soybeans Nov 2015 898.75 -6.5 -0.72%
Soybeans Jan 2016 901 -8.5 -0.93%
Soybeans May 2016 906.25 -8.5 -0.93%
Soybeans Jul 2016 910.5 -8.75 -0.95%
Soybeans Aug 2016 909 -9 -0.98%
Soybean Meal Dec 2015 307.8 -2.7 -0.87%
Soybean Meal Jan 2016 306.8 -3 -0.97%
Soybean Meal Mar 2016 304.3 -3.1 -1.01%
Soybean Oil Dec 2015 28.85 -0.33 -1.13%
Soybean Oil Jan 2016 29.13 -0.33 -1.12%
Soybean Oil Mar 2016 29.32 -0.31 -1.05%
Corn Dec 2015 378.25 -2.5 -0.66%
Corn Mar 2016 388 -2.25 -0.58%
Corn May 2016 393.5 -2.5 -0.63%
Corn Jul 2016 397.25 -2.75 -0.69%
Corn Sep 2016 394.75 -2 -0.50%
Oats Dec 2015 225 -2.75 -1.21%
Oats Mar 2016 227.25 -3 -1.30%
Oats May 2016 228.75 -2.75 -1.19%
Oats Jul 2016 233.25 -1.75 -0.74%
Oats Sep 2016 234.5 -2 -0.85%
Wheat Dec 2015 490.75 -4 -0.81%
Wheat Mar 2016 497 -4.25 -0.85%
Wheat May 2016 501.5 -4 -0.79%
Wheat Jul 2016 503.75 -4 -0.79%
Wheat Sep 2016 512 -3.75 -0.73%
Minneapolis
Spring Wheat Dec 2015 508 -3.75 -0.73%
Spring Wheat Mar 2016 522 -3.75 -0.71%
Spring Wheat Jul 2016 543.75 -2.75 -0.50%
Spring Wheat Sep 2016 555.25 -2.5 -0.45%
Kansas City
Hard Red Wheat Dec 2015 475.5 -5 -1.04%
Hard Red Wheat Mar 2016 490.5 -5 -1.01%
Hard Red Wheat May 2016 500.5 -5.25 -1.04%
Hard Red Wheat Jul 2016 510.75 -4.75 -0.92%
Hard Red Wheat Sep 2016 524 -5 -0.95%
