Canola, most crops weaker in futures

WINNIPEG,  (MarketsFarm) – Intercontinental Exchange (ICE) Futures canola contracts were weaker on Wednesday, due to the weather forecast and spillover from the Chicago Board of Trade.

Showers and thundershowers have been forecast for most of the Prairies through to the weekend. Daytime highs are to be in the mid-teens to low 20’s Celsius.

“A little rain in the forecast put some pressure on the market. The potential for rain across the Prairies is good, but it doesn’t look like heavy rain,” said a Winnipeg-based analyst.

There were significant losses in Chicago today, as soybeans, corn and wheat lost ground.

There were 25,312 contracts traded on Wednesday, which compares with Tuesday when 39,712 contracts changed hands. Spreading accounted for 16,212 contracts traded.

Settlement prices are in Canadian dollars per metric tonne.

Price Change
Canola Jul 455.50 dn 5.00
Nov 469.30 dn 6.70
Jan 475.90 dn 7.00
Mar 481.60 dn 7.20

SOYBEAN futures at the Chicago Board of Trade (CBOT) were weaker on Wednesday, as profit-taking, technical selling and expectations of mediocre export sales drove down prices.

The United States Department of Agriculture (USDA) is scheduled to release its export sales report on Thursday. The markets believe 198,000 to 800,000 tonnes of soybeans will be sold. Along with 100,000 to 400,000 tonnes of soymeal and 5,000 to 25,000 tonnes of soyoil.

Chinese President Xi Jinping and U.S. President Donald Trump will meet at the G20 Summit in Japan next week. The two are expected to discuss trade and that could signal the resumption of U.S./China trade talks.

The Chicago Mercantile Exchange lifted its force majeure at soybean and corn shipping stations, as water levels have dropped on the Mississippi and Illinois Rivers.

CORN futures were lower on Wednesday, due to profit-taking, despite expectations of reduced production this year.

Market pegged its estimates of corn exports between 300,000 to 900,000 tonnes.

Farm Futures estimated U.S. corn production to be about 332.76 million tonnes this year. That’s a decline of 12.70 million tonnes from the USDA’s estimate.

Ethanol production in the U.S consumed about 27,460 tonnes per day between June 7 and 14. That’s down slightly from the previous week.

China’s corn production could reach 252 million tonnes, as cool, wet weather has set in. However, outbreaks of fall armyworms could hurt production in some regions.

With hot and dry weather, Ukraine’s corn crop has suffered. The USDA lowered its estimate of Ukraine’s 2019/20 corn production to 33.0 million tonnes, compared to the previous crop year’s 35.81 million tonnes.

WHEAT futures were weaker on Wednesday, also due to profit-taking.

The markets projected export sales of 198,000 to 500,000 tonnes of wheat.

The U.S. lost out on a tender issued by Egypt for about 291,000 tonnes of wheat. Egypt opted to buy less expensive wheat from Russia and Romania. U.S. wheat has been less competitive globally.

OUTSIDE MARKETS

Light crude oil nearby futures in New York was down 14 cents at US$53.76 per barrel.

In the afternoon, the Canadian dollar was trading around US74.95 cents, up from 74.66 cents the previous trading day. The U.S. dollar was C$1.3343.

 

Winnipeg ICE Futures Canada dollars per tonne.

Canola Jul 19  455.50s  -5.00  -1.09%

Canola Nov 19  469.30s  -6.70  -1.41%

Canola Jan 20  475.90s  -7.00  -1.45%

Canola Mar 20  481.60s  -7.20  -1.47%

Canola May 20  486.20s  -7.10  -1.44%

 

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 Jul 19  903-2s  -10-2  -1.12%

Soybean Aug 19  909-4s  -10-6  -1.17%

Soybean Sep 19  916-0s  -11-2  -1.21%

Soybean Nov 19  928-6s  -11-4  -1.22%

Soybean Jan 20  941-0s  -11-2  -1.18%

 

Soybean Meal Jul 19  316.9s  -5.1  -1.58%

Soybean Meal Aug 19  318.2s  -5.3  -1.64%

Soybean Meal Sep 19  319.8s  -5.5  -1.69%

 

Soybean Oil Jul 19  28.37s  +0.04  +0.14%

Soybean Oil Aug 19  28.50s  +0.03  +0.11%

Soybean Oil Sep 19  28.61s  +0.03  +0.10%

 

Corn Jul 19  441-0s  -8-6  -1.95%

Corn Sep 19  446-2s  -9-2  -2.03%

Corn Dec 19  453-2s  -9-6  -2.11%

Corn Mar 20  458-6s  -9-4  -2.03%

Corn May 20  460-2s  -8-6  -1.87%

 

Oats Jul 19  285-4s  -12-0  -4.03%

Oats Sep 19  284-4s  -7-6  -2.65%

Oats Dec 19  288-4s  -5-6  -1.95%

Oats Mar 20  292-2s  -5-6  -1.93%

Oats May 20  291-4s  -5-6  -1.93%

 

Wheat Jul 19  522-2s  -9-2  -1.74%

Wheat Sep 19  526-6s  -8-6  -1.63%

Wheat Dec 19  536-0s  -10-6  -1.97%

Wheat Mar 20  546-4s  -11-6  -2.10%

Wheat May 20  549-2s  -13-0  -2.31%

 

Minneapolis

Spring Wheat Jul 19  541-4s  -10-6  -1.95%

Spring Wheat Sep 19  548-4s  -10-2  -1.83%

Spring Wheat Dec 19  561-0s  -10-2  -1.79%

Spring Wheat Mar 20  573-2s  -10-4  -1.80%

Spring Wheat May 20  581-2s  -10-4  -1.77%

 

Kansas City

Hard Red Wheat Jul 19  457-4s  -7-6  -1.67%

Hard Red Wheat Sep 19  468-0s  -9-0  -1.89%

Hard Red Wheat Dec 19  490-0s  -9-2  -1.85%

Hard Red Wheat Mar 20  511-0s  -9-6  -1.87%

Hard Red Wheat May 20  524-0s  -8-6  -1.64%

 

Chicago livestock futures in US¢/pound, Pit trade

Live Cattle Jun 19  108.500s  -0.950  -0.87%

Live Cattle Aug 19  104.550s  -1.000  -0.95%

Live Cattle Oct 19  106.100s  -0.950  -0.89%

 

Feeder Cattle Aug 19  136.525s  -0.725  -0.53%

Feeder Cattle Sep 19  137.000s  -0.600  -0.44%

Feeder Cattle Oct 19  137.425s  -0.275  -0.20%

 

Lean Hogs Jul 19  81.625s  +0.150  +0.18%

Lean Hogs Aug 19  83.000s  +1.300  +1.59%

Lean Hogs Oct 19  77.450s  +0.850  +1.11%

 

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