The ICE Futures canola platform closed mixed, failing to find strength from the soy complex.
Chicago Board of Trade (CBOT) soybean, oil and meal contracts all finished the day stronger. Reuters reported during the trading session that China made its first major United States soybean purchase in more than six months today. Chinese state-owned companies bought at least 500,000 tonnes of U.S. soybeans, in deals valued at more than $180 million. However, the market didn’t jump in reaction to the news.
Canola has been struggling to find strength from the firming soy complex. A few months ago canola was regarded as overpriced, however crush margins have improved and canola is now considered cheaper. That’s why it hasn’t been able to follow the soy market, according to an analyst.
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Prairie wheat bids fall with U.S. futures
Hard red spring wheat bids in Western Canada dropped with the U.S. futures during the week ended July 17, as the advancing U.S. winter wheat harvest and a lack of major concerns for North American spring wheat weighed on values.
The Canadian dollar was stronger today at canola market close, which weighed on the canola contracts.
About 31,061 canola contracts traded, which compares with Tuesday when 27,727 contracts changed hands. Spreading accounted for 26,774 of the contracts traded.
The U.S. Department of Agriculture (USDA) announced a flash sale of 130,632 tonnes of soybeans to Mexico and 110,000 tonnes of soybeans to unknown destinations this morning. Many mused this was buyers trying to lock in soybean purchases while they are still cheap before China starts buying again.
In other China news, soybean processors there are facing their lowest crush margins in 18 months. This is supposedly due to poor soymeal demand from overstocking by buyers and a drop in feed usage for hogs because of the African swine fever outbreak.
CBOT corn prices finished the day mixed.
Corn for ethanol usage was lowered 50 million barrels in yesterday’s USDA report; however prices still managed to eke out a small price gain on the day.
Wheat futures in the U.S. finished the day mixed.
Egypt has a tender out for soft and/or milling wheat for shipment from Feb. 1 to 10.
Iraq bought 50,000 tonnes of U.S. wheat in a tender last week.
OUTSIDE MARKETS
Light crude oil nearby futures in New York was down 50 cents at US$51.09 per barrel.
In the afternoon, the Canadian dollar was trading around US74.93 cents, up from 74.62 cents the previous trading day. The U.S. dollar was C$1.3346.
Winnipeg ICE Futures Canada dollars per tonne.
Canola Jan 19 485.10s -0.40 -0.08%
Canola Mar 19 491.80s +0.50 +0.10%
Canola May 19 498.60s unch unch
Canola Jul 19 504.70s -0.20 -0.04%
Canola Nov 19 495.10s -0.40 -0.08%
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
Soybeans Jan 19 920-0s +5-0 +0.55%
Soybeans Mar 19 933-2s +5-0 +0.54%
Soybeans May 19 945-6s +4-6 +0.50%
Soybeans Jul 19 957-2s +4-4 +0.47%
Soybeans Aug 19 961-2s +4-4 +0.47%
Soybean Meal Dec 18 310.8s +1.9 +0.62%
Soybean Meal Jan 19 312.6s +1.7 +0.55%
Soybean Meal Mar 19 316.6s +1.9 +0.60%
Soybean Oil Dec 18 28.80s +0.09 +0.31%
Soybean Oil Jan 19 29.04s +0.08 +0.28%
Soybean Oil Mar 19 29.29s +0.08 +0.27%
Corn Dec 18 376-2s +1-2 +0.33%
Corn Mar 19 385-2s +0-4 +0.13%
Corn May 19 392-6s +0-4 +0.13%
Corn Jul 19 398-6s unch unch
Corn Sep 19 400-0s unch unch
Oats Dec 18 283-0s -2-4 -0.88%
Oats Mar 19 294-4s +2-4 +0.86%
Oats May 19 295-6s +3-0 +1.02%
Oats Jul 19 292-6s +3-4 +1.21%
Oats Sep 19 278-6s +2-4 +0.90%
Wheat Dec 18 515-2s +5-4 +1.08%
Wheat Mar 19 526-4s +5-4 +1.06%
Wheat May 19 532-2s +3-6 +0.71%
Wheat Jul 19 538-6s +2-6 +0.51%
Wheat Sep 19 546-2s +1-2 +0.23%
Minneapolis
Spring Wheat Dec 18 580-4s unch unch
Spring Wheat Mar 19 583-0s +7-6 +1.35%
Spring Wheat May 19 587-4s +6-4 +1.12%
Spring Wheat Jul 19 592-6s +5-4 +0.94%
Spring Wheat Sep 19 599-4s +4-6 +0.80%
Kansas City
Hard Red Wheat Dec 18 483-6s +6-4 +1.36%
Hard Red Wheat Mar 19 511-2s +6-4 +1.29%
Hard Red Wheat May 19 522-0s +5-2 +1.02%
Hard Red Wheat Jul 19 532-0s +4-4 +0.85%
Hard Red Wheat Sep 19 544-4s +3-6 +0.69%
Chicago livestock futures in US¢/pound, Pit trade
Live Cattle Dec 18 119.125s +0.750 +0.63%
Live Cattle Feb 19 122.900s +0.750 +0.61%
Live Cattle Apr 19 124.900s +0.375 +0.30%
Feeder Cattle Jan 19 147.575s +0.275 +0.19%
Feeder Cattle Mar 19 145.275s +0.375 +0.26%
Feeder Cattle Apr 19 145.600s +0.325 +0.22%
Lean Hogs Dec 18 54.725s +0.275 +0.51%
Lean Hogs Feb 19 65.700s +0.500 +0.77%
Lean Hogs Apr 19 71.950s +0.500 +0.70%
