It was a red day across the board for crop futures in North America, with all significant contracts showing losses.
The suffering was general, with both corn and soybeans falling more than two percent, wheat falling about one-and-a-half percent and oats falling one-and-a-half percent. It was the worst day in grain markets for more than a month, underlining the weakness that has come to dominate the grain markets.
Canola was relatively strong, falling less than one percent.
Harvest pressure is weighing heavily on the U.S. elevator system, with elevators facing the onrush of the giant corn crop. Good rains in winter wheat areas lessened fears about the state of the hard red winter wheat crop, which had faced critically short moisture for months.
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Friday’s revived Commitment of Traders report showed speculators reduced their long soybeans position and increased their net short corn position, highlighting the bearish trend that has been taking over market sentiment in recent weeks.
The Canadian grain system continues to groan under the weight of the giant 2013-14 crop, causing basis levels to gape wide and pushing farmers to sell in later months, depressing forward prices.
Soybean futures prices are back at a level they have bounced off twice since the beginning of October, so traders are watching closely to see if they’ll bounce this time or break below the trend.
Canola, at $480.80 for November 2013 futures, is also back to a line of support that traders will want to see confirmed before anyone gets bullish. Since August, canola has bounced off the $480 per tonne market a number of times.
Spring wheat futures at $7.36 per bushel are still holding most of the recent gains from their rebound off of the $7 per bu. mark, but traders are watching closely to see if the present weakness is turning into the downside of a dead-cat-bounce.
Most commodities were slightly off Monday, but grains were the weakest. Meats were the strongest of the commodities complex.
Stock markets were mixed.
Winnipeg ICE Futures Canada dollars per tonne
Canola Nov 2013 480.80 -4.60 -0.95%
Canola Jan 2014 491.20 -4.70 -0.95%
Canola Mar 2014 499.10 -4.80 -0.95%
Canola May 2014 505.90 -4.60 -0.90%
Canola Jul 2014 511.60 -4.50 -0.87%
Milling Wheat Dec 2013 230.00 -4.00 -1.71%
Milling Wheat Mar 2014 239.00 -4.00 -1.65%
Milling Wheat May 2014 246.00 -4.00 -1.60%
Durum Wheat Dec 2013 247.00 unch 0.00%
Durum Wheat Mar 2014 253.00 unch 0.00%
Durum Wheat May 2014 257.00 unch 0.00%
Barley Dec 2013 152.00 unch 0.00%
Barley Mar 2014 154.00 unch 0.00%
Barley May 2014 155.00 unch 0.00%
American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound
Chicago
Soybeans Nov 2013 1271.25 -28.75 -2.21%
Soybeans Jan 2014 1268 -25.5 -1.97%
Soybeans Mar 2014 1250.75 -21.25 -1.67%
Soybeans May 2014 1237 -18.5 -1.47%
Soybeans Jul 2014 1231 -18.75 -1.50%
Soybeans Aug 2014 1219.75 -17.25 -1.39%
Soybean Meal Dec 2013 414.7 -8.8 -2.08%
Soybean Meal Jan 2014 404.9 -9.2 -2.22%
Soybean Meal Mar 2014 392.8 -7.9 -1.97%
Soybean Oil Dec 2013 40.36 -0.37 -0.91%
Soybean Oil Jan 2014 40.65 -0.38 -0.93%
Soybean Oil Mar 2014 41.04 -0.36 -0.87%
Corn Dec 2013 430.75 -9.25 -2.10%
Corn Mar 2014 443.25 -8.75 -1.94%
Corn May 2014 452 -8.75 -1.90%
Corn Jul 2014 459.75 -8.5 -1.82%
Corn Sep 2014 466.75 -8.25 -1.74%
Oats Dec 2013 328.25 -5 -1.50%
Oats Mar 2014 309 -5.25 -1.67%
Oats May 2014 308.5 -4.5 -1.44%
Oats Jul 2014 309 -2 -0.64%
Oats Sep 2014 310.5 -2 -0.64%
Wheat Dec 2013 681 -9.75 -1.41%
Wheat Mar 2014 692 -9.75 -1.39%
Wheat May 2014 697.5 -10 -1.41%
Wheat Jul 2014 690 -11.5 -1.64%
Wheat Sep 2014 698.25 -11.25 -1.59%
Minneapolis
Spring Wheat Dec 2013 736.5 -8.5 -1.14%
Spring Wheat Mar 2014 747.25 -7.75 -1.03%
Spring Wheat May 2014 753.25 -8 -1.05%
Spring Wheat Jul 2014 755.75 -8.75 -1.14%
Spring Wheat Sep 2014 756 -6.5 -0.85%
Kansas City
KCBT Red Wheat Dec 2013 750.75 -8.25 -1.09%
KCBT Red Wheat Mar 2014 751.5 -7.5 -0.99%
KCBT Red Wheat May 2014 747 -7.5 -0.99%
KCBT Red Wheat Jul 2014 729.5 -7.5 -1.02%
KCBT Red Wheat Sep 2014 736.25 -7.75 -1.04%
Light crude oil nearby futures in New York rose 83 cents at $98.68 US per barrel.
The Canadian dollar at noon was 95.74 cents US, up from 95.69 cents the previous trading day. The U.S. dollar at noon was $1.0445 Cdn.
Stock markets were little changed with several indexes at or near record highs on thoughts that the U.S. Federal Reserve will continue its stimulus program.
The Toronto Stock Exchange composite closed down 27.59 points or 0.21 percent at 13,371.84.
The Dow Jones industrial average edged down 1.35 points, or 0.01 percent, to end at 15,568.93.
The Standard & Poor’s 500 Index rose 2.34 points, or 0.13 percent, to finish at 1,762.11.
The Nasdaq Composite Index slipped 3.23 points, or 0.08 percent, to close at 3,940.13.
