Canola futures rise Thursday with help from soy and weaker loonie

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Published: February 11, 2016

Canola futures rose more than one percent Thursday, supported by a rising soy complex and a weaker Canadian dollar.

Oilseeds have been falling lately because of the advancing South American soybean harvest, but this week’s U.S. export sales number showed that not all buyers have turned south yet.

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Weekly U.S. export sales of just over 600,000 tonnes were at the top end of the range of the trade’s expectation.

But the news on corn exports was not good

The USDA reported weekly corn export sales of 346,100 tonnes, well below forecasts for 800,000 to 1.1 million tonnes, Reuters reported.

The weak exports, coupled with the U.S. Energy Information Administration’s report of record ethanol stocks on Wednesday, highlighted the fundamental headwinds facing corn and kept most buyers on the sidelines, Reuters said.

U.S. wheat also faces poor demand from both the domestic and export sectors, and a lack of weather threats to the dormant crop in the northern hemisphere raised the prospects of the coming harvest adding to already abundant supplies.

Crude oil prices dropped sharply again early but rebounded after reports that the United Arab Emirates energy minister said OPEC would be willing to engage in a coordinated production cut if there was total cooperation

Weak quarterly results at insurer Manulife Financial hurt the TSX financials sector.

The Toronto Stock Exchange’s S&P/TSX composite index closed down 98.35 points, or 0.81 percent, at 12,087.37.

The Dow fell 255.24 points, or 1.6 percent, to 15,659.5, the S&P 500 lost 22.91 points, or 1.24 percent, to 1,828.95 and the Nasdaq Composite dropped 16.76 points, or 0.39 percent, to 4,266.84.

Light crude oil nearby futures in New York were down $1.24 to US$26.21 per barrel.

The Canadian dollar at noon was US71.79 cents, up from 71.59 cents the previous trading day. The U.S. dollar at noon was C$1.3930.

 

Winnipeg ICE Futures Canada dollars per tonne

Canola Mar 2016   468.80   +6.00   +1.30%

Canola May 2016   477.30   +5.70   +1.21%

Canola Jul 2016   482.60   +5.40   +1.13%

Canola Nov 2016   485.50   +4.40   +0.91%

Canola Jan 2017   488.00   +4.20   +0.87%

 

Milling Wheat Mar 2016   226.00   -1.00   -0.44%

Milling Wheat May 2016   229.00   -1.00   -0.43%

Milling Wheat Jul 2016   233.00   -1.00   -0.43%

 

Durum Wheat Mar 2016   317.00   unch   0.00%

Durum Wheat May 2016   325.00   unch   0.00%

Durum Wheat Jul 2016   310.00   unch   0.00%

 

Barley Mar 2016   188.00   -2.00   -1.05%

Barley May 2016   192.00   -2.00   -1.03%

Barley Jul 2016   194.00   -2.00   -1.02%

 

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

 

Chicago

Soybeans Mar 2016   873.5   +11.25   +1.30%

Soybeans May 2016   877.75   +10.75   +1.24%

Soybeans Jul 2016   883   +10.5   +1.20%

Soybeans Aug 2016   884.75   +10.25   +1.17%

Soybeans Sep 2016   885   +10.5   +1.20%

Soybeans Nov 2016   887.75   +10   +1.14%

 

Soybean Meal Mar 2016   263.7   +2.7   +1.03%

Soybean Meal May 2016   266.1   +2.7   +1.03%

Soybean Meal Jul 2016   268.7   +2.8   +1.05%

 

Soybean Oil Mar 2016   31.59   +0.58   +1.87%

Soybean Oil May 2016   31.81   +0.55   +1.76%

Soybean Oil Jul 2016   32.04   +0.55   +1.75%

 

Corn Mar 2016   360.25   unch   0.00%

Corn May 2016   365   -0.25   -0.07%

Corn Jul 2016   369.75   -0.5   -0.14%

Corn Sep 2016   374.5   -1   -0.27%

Corn Dec 2016   382.75   -0.75   -0.20%

 

Oats Mar 2016   191.5   +2.25   +1.19%

Oats May 2016   196.5   +3   +1.55%

Oats Jul 2016   205.5   +3.5   +1.73%

Oats Sep 2016   210.25   +3   +1.45%

Oats Dec 2016   208.5   +2.25   +1.09%

 

Wheat Mar 2016   458.25   -3   -0.65%

Wheat May 2016   463.5   -1.5   -0.32%

Wheat Jul 2016   468.75   -0.75   -0.16%

Wheat Sep 2016   478   unch   0.00%

Wheat Dec 2016   493   +0.5   +0.10%

 

Minneapolis

Spring Wheat Mar 2016   486.25   +0.25   +0.05%

Spring Wheat May 2016   490.75   unch   0.00%

Spring Wheat Jul 2016   499.5   -0.25   -0.05%

Spring Wheat Sep 2016   510   -0.5   -0.10%

Spring Wheat Dec 2016   525.75   unch   0.00%

 

Kansas City

Hard Red Wheat Mar 2016   444   -0.75   -0.17%

Hard Red Wheat May 2016   453.75   -0.5   -0.11%

Hard Red Wheat Jul 2016   464.25   -0.25   -0.05%

Hard Red Wheat Sep 2016   478   -0.75   -0.16%

Hard Red Wheat Dec 2016   499   -0.5   -0.10%

 

About the author

D'Arce McMillan

Markets editor, Saskatoon newsroom

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