Canola stays within range; wheat up due to higher exports

WINNIPEG, (MarketsFarm) – Intercontinental Exchange (ICE) Futures canola contracts finished lower on Friday, amid quiet trading activity due to the Thanksgiving holiday.

One trader said canola is “chopping up and down” in a range due to the quiet activity in United States commodity markets.

Canola is expected to remain range-bound into the New Year, with the January contract holding between C$455 and C$467.

The Canadian dollar dipped slightly at the end of the week, at around 75.1 U.S. cents, providing some support for canola exports.

A stronger tone for soyoil on the Chicago Board of Trade was also supportive of canola prices. Soy oil finished the day up by one-tenth of a cent.

On Friday, 14,688 contracts were traded, which compares with Thursday when 2,795 contracts changed hands. Spreading accounted for 10,500 contracts traded.

SOYBEAN futures at the Chicago Board of Trade (CBOT) were lower on Friday, as trading activity was quiet following the Thanksgiving holiday.

Export data from the United States Department of Agriculture (USDA) was supportive of soybean values.

Last week’s soybean export sales exceeded trade expectations, at 1.664 million tonnes. That’s 14 per cent higher than the week prior, and brings total shipments for the marketing year to be 9.5 per cent ahead of last year’s pace. However, soymeal sales were lower than expected, at just 93,000 tonnes. Soyoil sales totaled over 14,000 tonnes last week.

Prices remain pressured by a competitive global market. There is still no concrete deal for Phase One of the trade agreement between the U.S. and China.

CORN futures finished the week higher, due to positive export data. Trade expectations estimated last week’s corn export sales to be between 400,000 and 900,000 tonnes, and the export report matched that expectation at 806,800 tonnes. However, exports for the marketing year are still 40 per cent behind last year’s pace.

WHEAT futures were higher on Friday. Weekly export sales data showed sales were above trade estimates, totalling 612,700 tonnes. Total exports for the marketing year are almost nine percent ahead of last year’s pace.

Earlier this week, House Democrats said they are close to ratifying the new North American trade agreement, known as the USMCA.

Democrats have been negotiating with President Donald Trump to change the agreement, which will replace NAFTA when ratified. Mexico has ratified the agreement, but the U.S. and Canada have not.

The President of Mexico said earlier this week, that his government would send a letter to House Speaker Nancy Pelosi, encouraging Congress to approve the deal.

 

OUTSIDE MARKETS

Light crude oil nearby futures in New York was down 2.94 cents at US$55.17 per barrel.

In the afternoon, the Canadian dollar was trading around US75.25 cents, down from 75.27 cents the previous trading day. The U.S. dollar was C$1.3289.

 

Winnipeg ICE Futures Canada dollars per tonne.

Canola Jan 20 456.60s -1.30 -0.28%

Canola Mar 20 465.70s -1.30 -0.28%

Canola May 20 473.80s -1.40 -0.29%

Canola Jul 20 479.60s -1.80 -0.37%

Canola Nov 20 481.20s -1.20 -0.25%

 

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 Jan 20 876-6s -5-2 -0.60%

Soybean Mar 20 891-2s -5-2 -0.59%

Soybean May 20 905-6s -5-0 -0.55%

Soybean Jul 20 918-2s -5-0 -0.54%

Soybean Aug 20 923-0s -4-4 -0.49%

 

Soybean Meal Dec 19 290.9s -2.9 -0.99%

Soybean Meal Jan 20 293.1s -3.1 -1.05%

Soybean Meal Mar 20 297.1s -2.9 -0.97%

 

Soybean Oil Dec 19 30.42s +0.05 +0.16%

Soybean Oil Jan 20 30.58s +0.08 +0.26%

Soybean Oil Mar 20 30.85s +0.06 +0.19%

 

Corn Dec 19 371-2s +8-4 +2.34%

Corn Mar 20 381-2s +8-0 +2.14%

Corn May 20 385-6s +6-6 +1.78%

Corn Jul 20 390-2s +6-0 +1.56%

Corn Sep 20 388-0s +4-0 +1.04%

 

Oats Dec 19 321-2s +8-6 +2.80%

Oats Mar 20 309-6s -6-6 -2.13%

Oats May 20 305-2s -5-2 -1.69%

Oats Jul 20 292-0s -3-4 -1.18%

Oats Sep 20 277-0s -3-2 -1.16%

 

Wheat Dec 19 547-4s +19-0 +3.60%

Wheat Mar 20 541-6s +15-0 +2.85%

Wheat May 20 544-6s +13-6 +2.59%

Wheat Jul 20 542-6s +11-2 +2.12%

Wheat Sep 20 547-6s +10-0 +1.86%

 

Minneapolis

Spring Wheat Dec 19 494-4s +6-0 +1.23%

Spring Wheat Mar 20 514-4s +6-0 +1.18%

Spring Wheat May 20 523-0s +4-4 +0.87%

Spring Wheat Jul 20 532-6s +4-0 +0.76%

Spring Wheat Sep 20 542-4s +3-4 +0.65%

 

Kansas City

Hard Red Wheat Dec 19 438-6s +12-0 +2.81%

Hard Red Wheat Mar 20 447-0s +9-4 +2.17%

Hard Red Wheat May 20 455-0s +9-4 +2.13%

Hard Red Wheat Jul 20 461-2s +9-0 +1.99%

Hard Red Wheat Sep 20 469-0s +8-0 +1.74%

 

Chicago livestock futures in US¢/pound, Pit trade

Live Cattle Dec 19 121.200s -0.225 -0.19%

Live Cattle Feb 20 126.200s -0.500 -0.39%

Live Cattle Apr 20 126.375s -0.500 -0.39%

 

Feeder Cattle Jan 20 142.275s -1.050 -0.73%

Feeder Cattle Mar 20 143.025s -0.900 -0.63%

Feeder Cattle Apr 20 144.975s -0.650 -0.45%

 

Lean Hogs Dec 19 62.025s +1.350 +2.22%

Lean Hogs Feb 20 68.175s +1.025 +1.53%

Lean Hogs Apr 20 73.925s +0.300 +0.41%

 

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