Winnipeg (CNS Canada) – The ICE Futures Canada canola complex trended slightly higher on Tuesday, taking strength from advances in U.S. soyoil and Malaysian palm oil futures.
The market also took strength from an Informa Economics report that lowered its forecast for U.S. soybeans to 91.2 million tonnes.
Dry weather in Argentina was also supportive for canola.
Fowever, canola is becoming somewhat expensive relative to other oilseeds and buying has been lukewarm.
“Unless we get a new resurgence of Chinese buying – I don’t get the sense that there’s a lot of interest,” said a Winnipeg-based analyst.
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Around 15,088 canola contracts were traded on Tuesday, which compares with Monday when around 16,710 contracts changed hands. Spreading accounted for 10,844 of the contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Soybean futures on the Chicago Board of Trade ended two cents higher in a choppy session on Monday.
The market was down for much of the morning as United States President Donald Trump’s decision to slap tariffs on Chinese solar panels raised fears this could be the start of another trade war.
However, futures took strength from the Informa Economics report that lowered the forecast for U.S. soybeans to 91.2 million tonnes.
U.S. export inspections were also better than expected at 1.4 million tonnes.
The corn market finished the day roughly a cent lower in tight, chart-based trading.
A disappointing U.S. export inspections report continued to weigh on the market. The inspections were actually slightly higher than last week but still 32 per cent lower than the same point last year.
Demand for corn is reasonable right now but futures are still locked in tight, range-bound trade.
Chicago wheat fell four cents in speculative selling on Tuesday.
The snow that fell on parts of Colorado and Kansas was welcome news for farmers worked about excess dryness. That being said much of the U.S. Plains could do with a lot more.
Russian wheat prices have risen over the past few weeks, making U.S. supplies more competitive, said an analyst.
OUTSIDE MARKETS
Light crude oil nearby futures in New York were up 90 cents at US$64.47 per barrel.
In the afternoon, the Canadian dollar was trading around US80.49 cents, up from 80.28 cents the previous trading day. The U.S. dollar was C$1.2423.
Winnipeg ICE Futures Canada dollars per tonne.
Canola Mar 18 496.10s +2.00 +0.40%
Canola May 18 502.90s +1.90 +0.38%
Canola Jul 18 508.60s +2.10 +0.41%
Canola Nov 18 504.90s +2.00 +0.40%
Canola Jan 19 509.70s +1.70 +0.33%
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 Mar 18 986-2s +2-0 +0.20%
Soybeans May 18 997-6s +2-0 +0.20%
Soybeans Jul 18 1007-6s +2-0 +0.20%
Soybeans Aug 18 1009-6s +2-2 +0.22%
Soybeans Sep 18 1005-2s +2-2 +0.22%
Soybean Meal Mar 18 339.6s +1.0 +0.30%
Soybean Meal May 18 342.5s +0.8 +0.23%
Soybean Meal Jul 18 344.1s +0.6 +0.17%
Soybean Oil Mar 18 32.52s +0.36 +1.12%
Soybean Oil May 18 32.72s +0.36 +1.11%
Soybean Oil Jul 18 32.91s +0.35 +1.07%
Corn Mar 18 351-2s -0-6 -0.21%
Corn May 18 359-6s -0-6 -0.21%
Corn Jul 18 368-0s -1-0 -0.27%
Corn Sep 18 375-6s -1-0 -0.27%
Corn Dec 18 385-0s -0-6 -0.19%
Oats Mar 18 270-0s +5-0 +1.89%
Oats May 18 262-2s +0-4 +0.19%
Oats Jul 18 265-4s unch unch
Oats Sep 18 265-0s -0-6 -0.28%
Oats Dec 18 264-0s -1-2 -0.47%
Wheat Mar 18 421-4s -4-2 -1.00%
Wheat May 18 434-2s -4-2 -0.97%
Wheat Jul 18 448-0s -4-0 -0.88%
Wheat Sep 18 463-2s -4-0 -0.86%
Wheat Dec 18 482-4s -4-2 -0.87%
Minneapolis
Spring Wheat Mar 18 604-4s -2-4 -0.41%
Spring Wheat May 18 614-6s -1-6 -0.28%
Spring Wheat Jul 18 621-6s -1-6 -0.28%
Spring Wheat Sep 18 620-0s -1-6 -0.28%
Spring Wheat Dec 18 630-6s -0-6 -0.12%
Kansas City
Hard Red Wheat Mar 18 423-2s -5-2 -1.23%
Hard Red Wheat May 18 437-2s -5-2 -1.19%
Hard Red Wheat Jul 18 454-2s -5-2 -1.14%
Hard Red Wheat Sep 18 471-0s -5-0 -1.05%
Hard Red Wheat Dec 18 492-0s -4-6 -0.96%
Chicago livestock futures in US¢/pound, Pit trade
Live Cattle Feb 18 124.725s +1.175 +0.95%
Live Cattle Apr 18 124.800s +0.825 +0.67%
Live Cattle Jun 18 116.300s +0.750 +0.65%
Feeder Cattle Jan 18 148.625s +0.725 +0.49%
Feeder Cattle Mar 18 146.975s +1.150 +0.79%
Feeder Cattle Apr 18 147.725s +1.250 +0.85%
Lean Hogs Feb 18 72.250s +0.450 +0.63%
Lean Hogs Apr 18 74.650s -0.475 -0.63%
Lean Hogs May 18 79.400s -0.250 -0.31%
