WINNIPEG, (MarketsFarm) – Intercontinental Exchange (ICE) Futures canola contracts were higher on Tuesday, as bids lacked direction in choppy trading.
One trader commented that lack has been common in the Chicago soy complex, European rapeseed and Malaysian palm oil as well.
Another trader theorized Prairie farmers haven’t been selling their canola because the Canadian government extended the Cash Advance Program.
“That takes away the need to sell,” he stated.
While crop conditions remain generally favourable, as August progresses, the threat of frost increases. Below normal temperatures are expected next week on the Prairies.
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There were 12,010 contracts traded on Tuesday, which compares with Monday when 7,485 contracts changed hands. Spreading accounted for 4,934 contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Price Change
Canola Nov 451.40 up 1.20
Jan 458.90 up 1.20
Mar 465.30 up 1.00
May 470.70 up 0.90
SOYBEAN futures at the Chicago Board of Trade (CBOT) were higher on Tuesday, due to lower average pod counts on the Pro Farmer Midwest Crop Tour.
The western leg of the tour found an average 833 pods within three by three-foot squares in South Dakota fields on Monday. That’s down from last year’s 1,025 pods. The tour’s eastern leg in Ohio averaged 764 pods compared to 1,248 last year. The tour continues until Thursday.
In the U.S. Department of Agriculture (USDA) weekly crop progress report released yesterday, soybean crop conditions rated 53 per cent good to excellent, down one point from the previous week.
Soybeans blooming were at 90 per cent, eight points up from the previous week’s report, but six points back of the five-year average. Soybeans setting pods reached 68 per cent, from 54 per cent last week, but behind the average of 85 per cent.
Soybean and Corn Advisor’s Dr. Michael Cordonnier kept his estimate of U.S. soybean production for this year at 92.26 million tonnes. The USDA, in its August supply and demand report, forecast 100.16 million tonnes.
CORN futures were weaker on Tuesday, as rain fell or was forecast to fall over dry pockets of the U.S. Corn Belt.
The Pro Farmer Tour’s western leg projected corn yields in South Dakota to be approximately 154 bushels per acre, which was below last year’s estimate of 178 bushels. The eastern leg in Ohio also forecast 154 bushels per acre, below the 180 bushels the tour estimated last year.
The USDA reported corn conditions were 56 per cent good to excellent, down one point from the previous week. Corn reached 95 per cent silking, up from 90 per cent the previous week, but behind of the average of 99 per cent.
Corn doughing was at 55 per cent, a gain of 16 points from the previous week, but 21 points off of the five-average. Corn dented was at 15 per cent, about double from last week, but half of the average.
There was no change in Cordonnier’s estimate of U.S. corn production in 2019 of 327.17 million tonnes. The USDA’s projection was at 353.09 million tonnes in its August report.
Brazil has substantially increased its corn exports with 20.7 million tonnes compared to 7.5 million a year ago. The country’s August exports are on pace to surpass 8.8 million tonnes.
WHEAT futures were lower on Tuesday, with small declines in Minneapolis and larges losses in Chicago and Kansas City.
Spring wheat conditions were 60 per cent good to excellent, up one point from last week. The spring wheat harvest was 16 per cent complete, double from the previous week, but far behind the five-year average of 49 per cent. The winter wheat harvest hit 93 per cent complete, up four points from last week, but five behind the average.
Japan issued a tender for more than 110,000 tonnes of food-quality wheat with about half each coming from the U.S. and Canada.
China has taken its first shipment of French wheat in five years. A loaded bulk carrier was set to leave the Port of Dunkirk for southern China today.
Light crude oil nearby futures in New York was up13 cents at US$56.34 per barrel.
In the afternoon, the Canadian dollar was trading around US75.06 cents, down from 75.20 centsthe previous trading day. The U.S. dollar was C$1.3323.
Winnipeg ICE Futures Canada dollars per tonne.
Canola Nov 19 451.40s +1.20 +0.27%
Canola Jan 20 458.90s +1.20 +0.26%
Canola Mar 20 465.30s +1.00 +0.22%
Canola May 20 470.70s +0.90 +0.19%
Canola Jul 20 475.90s +0.90 +0.19%
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
Soybean Sep 19 855-6s +1-6 +0.20%
Soybean Nov 19 868-2s +1-6 +0.20%
Soybean Jan 20 882-0s +1-4 +0.17%
Soybean Mar 20 895-2s +1-4 +0.17%
Soybean May 20 906-6s +1-2 +0.14%
Soybean Meal Sep 19 294.0s +2.0 +0.68%
Soybean Meal Oct 19 295.9s +2.0 +0.68%
Soybean Meal Dec 19 299.5s +2.3 +0.77%
Soybean Oil Sep 19 28.43s -0.25 -0.87%
Soybean Oil Oct 19 28.54s -0.26 -0.90%
Soybean Oil Dec 19 28.79s -0.25 -0.86%
Corn Sep 19 359-4s -5-4 -1.51%
Corn Dec 19 368-6s -5-6 -1.54%
Corn Mar 20 381-2s -5-6 -1.49%
Corn May 20 388-6s -5-4 -1.40%
Corn Jul 20 395-6s -4-6 -1.19%
Oats Sep 19 272-6s +2-4 +0.93%
Oats Dec 19 272-0s +0-2 +0.09%
Oats Mar 20 276-2s unch unch
Oats May 20 275-4s +0-2 +0.09%
Oats Jul 20 277-2s +0-2 +0.09%
Wheat Sep 19 460-0s -5-4 -1.18%
Wheat Dec 19 466-4s -6-0 -1.27%
Wheat Mar 20 474-2s -5-2 -1.09%
Wheat May 20 479-4s -5-4 -1.13%
Wheat Jul 20 484-0s -5-6 -1.17%
Minneapolis
Spring Wheat Sep 19 504-0s -1-4 -0.30%
Spring Wheat Dec 19 516-0s -1-0 -0.19%
Spring Wheat Mar 20 530-2s -1-4 -0.28%
Spring Wheat May 20 540-2s -1-6 -0.32%
Spring Wheat Jul 20 550-2s -1-6 -0.32%
Kansas City
Hard Red Wheat Sep 19 386-6s -4-4 -1.15%
Hard Red Wheat Dec 19 402-0s -4-6 -1.17%
Hard Red Wheat Mar 20 417-4s -5-0 -1.18%
Hard Red Wheat May 20 428-4s -4-6 -1.10%
Hard Red Wheat Jul 20 438-4s -4-4 -1.02%
Chicago livestock futures in US¢/pound, Pit trade
Live Cattle Aug 19 101.800s +1.600 +1.60%
Live Cattle Oct 19 100.000s +1.775 +1.81%
Live Cattle Dec 19 104.825s +1.100 +1.06%
Feeder Cattle Aug 19 136.300s +0.625 +0.46%
Feeder Cattle Sep 19 133.725s +0.900 +0.68%
Feeder Cattle Oct 19 133.650s +0.475 +0.36%
Lean Hogs Oct 19 64.975s +0.950 +1.48%
Lean Hogs Dec 19 64.175s +1.325 +2.11%
Lean Hogs Feb 20 70.800s +1.075 +1.54%
