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Canola rebounds after losses

Winnipeg (CNS Canada) – ICE Futures Canada canola contracts were stronger on Wednesday, correcting from recent losses as supportive technical signals and solid end user demand provided support.

Prairie weather concerns added to the firmer tone, with heat and dryness causing crop stress in some areas.

However, forecasts calling for much needed rain in some of the dry regions of Saskatchewan by the weekend tempered the upside.

Statistics Canada and the United States Department of

Agriculture both release acreage estimates on Friday, and positioning ahead of the reports accounted for some of the activity. Canola seeded area is generally expected to be up from earlier estimates.

About 28,670 canola contracts traded, which compares with Tuesday when 25,570 contracts changed hands. Spreading was a feature, accounting for 21,354 of the contracts traded.

SOYBEANS were steady to slightly higher on Wednesday, seeing some consolidation after settling at fresh lows on Tuesday.

Positioning ahead of Friday’s United States Department of Agriculture acreage and stocks reports was a feature, with traders reluctant to push values too far one way or the other ahead of the data.

Average pre-report guesses are for an increase in U.S. soybean seedings by about a million acres from the earlier estimate, with quarterly stocks also up from the year-ago level.

The ongoing trade war between the U.S. and China remained a bearish influence in the background, with Chinese tariffs on U.S. soybeans set to go into effect next week.

Relatively favourable Midwestern crop conditions also weighed on prices.

CORN held steady on the day, lacking any clear direction. Forecasts are calling for some hotter and drier weather across the Midwest over the next week few weeks, but conditions remain favourable overall for now.

WHEAT futures were mixed, with gains in the winter wheat markets and losses in Minneapolis spring wheat.

Chart-based speculative positioning accounted for most of the buying interest, with the nearby fundamentals still relatively bearish for wheat.

The advancing U.S. winter wheat harvest put some pressure on values, while forecasts calling for welcome rains in dry spring wheat growing regions of the northern U.S. and Canada weighed on Minneapolis prices.

 

OUTSIDE MARKETS

Light crude oil nearby futures in New York was up $2.23 at US$72.76 per barrel.

In the afternoon, the Canadian dollar was trading around US74.80 cents, down from 75.17 cents the previous trading day. The U.S. dollar was C$1.3369.

 

Winnipeg ICE Futures Canada dollars per tonne.

Canola Jul 18 523.70s +2.20 +0.42%

Canola Nov 18 512.90s +4.90 +0.96%

Canola Jan 19 518.30s +4.10 +0.80%

Canola Mar 19 520.50s +3.10 +0.60%

Canola May 19 522.10s +3.00 +0.58%

 

Soybeans Jul 18 867-4s +0-2 +0.03%

Soybeans Aug 18 873-0s unch unch

Soybeans Sep 18 878-4s +0-4 +0.06%

Soybeans Nov 18 889-0s +1-4 +0.17%

Soybeans Jan 19 898-0s +1-2 +0.14%

 

Soybean Meal Jul 18 333.9s +0.2 +0.06%

Soybean Meal Aug 18 332.3s -0.5 -0.15%

Soybean Meal Sep 18 332.0s -0.9 -0.27%

 

Soybean Oil Jul 18 29.01s +0.07 +0.24%

Soybean Oil Aug 18 29.13s +0.10 +0.34%

Soybean Oil Sep 18 29.25s +0.08 +0.27%

 

Corn Jul 18 352-4s unch unch

Corn Sep 18 361-6s +0-4 +0.14%

Corn Dec 18 373-2s unch unch

Corn Mar 19 382-6s unch unch

Corn May 19 389-4s unch unch

 

Oats Jul 18 254-0s +12-6 +5.28%

Oats Sep 18 240-6s +4-4 +1.90%

Oats Dec 18 244-6s +6-0 +2.51%

Oats Mar 19 248-6s +5-6 +2.37%

Oats May 19 251-0s +5-6 +2.34%

 

Wheat Jul 18 479-4s +10-0 +2.13%

Wheat Sep 18 488-4s +5-4 +1.14%

Wheat Dec 18 503-6s +3-2 +0.65%

Wheat Mar 19 519-2s +1-4 +0.29%

Wheat May 19 530-6s +1-0 +0.19%

 

Spring Wheat Jul 18 527-0s -5-4 -1.03%

Spring Wheat Sep 18 541-2s -4-2 -0.78%

Spring Wheat Dec 18 557-2s -3-6 -0.67%

Spring Wheat Mar 19 573-0s -3-4 -0.61%

Spring Wheat May 19 583-0s -3-6 -0.64%

 

Hard Red Wheat Jul 18 460-2s +2-2 +0.49%

Hard Red Wheat Sep 18 478-2s +2-6 +0.58%

Hard Red Wheat Dec 18 501-4s +2-0 +0.40%

Hard Red Wheat Mar 19 519-6s +1-6 +0.34%

Hard Red Wheat May 19 532-4s +1-6 +0.33%

 

Live Cattle Jun 18 107.025s +1.100 +1.04%

Live Cattle Aug 18 102.725s +0.300 +0.29%

Live Cattle Oct 18 106.150s +0.250 +0.24%

 

Feeder Cattle Aug 18 145.775s -0.325 -0.22%

Feeder Cattle Sep 18 146.475s -0.200 -0.14%

Feeder Cattle Oct 18 146.475s -0.125 -0.09%

 

Lean Hogs Jul 18 80.225s +1.100 +1.39%

Lean Hogs Aug 18 75.050s +0.300 +0.40%

Lean Hogs Oct 18 61.300s +0.375 +0.62%

 

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