By D’Arce McMillan
Markets editor
Twitter @darcemcmillan
Oilseed futures on Tuesday gave back Monday’s gains and grains were also lower on harvest pressure and a USDA report that was slightly negative for corn and wheat prices.
Light showers today in various parts of Western Canada are likely interfering with combining. The rain is expected to become steadier later today and into Wednesday with the greatest accumulation in central and eastern Saskatchewan, running into western Manitoba.
Rain is expected to be heavier in a large part of the U.S. Midwest, but that has no positive effect on crop prices.
Read Also
U.S. livestock: Cattle futures set record highs on scarce supplies
Chicago Mercantile Exchange live cattle and feeder cattle futures set record highs on Wednesday as cash prices stayed strong, along with consumers’ demand for beef, brokers said.
Statistics Canada releases its latest estimate of the size of Canada’s crops on Friday. Reuters today reported that, on average, the trade expects a wheat crop of 28 million tonnes and canola at 14.6 million.
The previous Statistics Canada survey this summer put the all wheat crop at 27.7 million tonnes and canola at 13.9 million tonnes.
Today’s USDA stocks report showed domestic soybean stocks as of Sept. 1 were scraping the bottom of the barrel at 92 million bushels, the lowest since 1973 and 34 million bu. less than the average of analysts’ forecasts.
However, with a record large harvest now coming in, the report provided little support to soybean futures.
The USDA reports were slightly bearish for wheat. Stocks as of Sept. 1 were 1.914 billion bu., slightly above trade expectations. The report indicated less wheat was fed to livestock than expected.
The USDA annual Small Grains Report today pegged the all-wheat crop at 2.035 billion bu., up five million from its previous figure. That was roughly in line with the average trade estimate of 2.037 billion.
The all wheat number was the result of a slight reduction in the winter wheat crop and an increase of the spring wheat crop to 601 million bu., at the high end of what the trade expected.
The stocks report for corn was also a bit bearish, at 1.235 billion bu., up from the average trade estimate of 1.185 billion and well above last year’s 821 million.
Crude oil fell sharply on an oversupply.
Winnipeg ICE Futures Canada dollars per tonne
Canola Nov 2014 395.90 -2.10 -0.53%
Canola Jan 2015 402.50 -2.90 -0.72%
Canola Mar 2015 409.50 -3.10 -0.75%
Canola May 2015 416.00 -4.00 -0.95%
Canola Jul 2015 421.90 -4.90 -1.15%
Milling Wheat Oct 2014 188.00 -2.00 -1.05%
Milling Wheat Dec 2014 192.00 -2.00 -1.03%
Milling Wheat Mar 2015 201.00 -2.00 -0.99%
Durum Wheat Oct 2014 303.20 unch 0.00%
Durum Wheat Dec 2014 309.70 unch 0.00%
Durum Wheat Mar 2015 310.70 unch 0.00%
Barley Oct 2014 116.00 -9.00 -7.20%
Barley Dec 2014 118.00 -9.00 -7.09%
Barley Mar 2015 119.00 -9.00 -7.03%
American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound
Chicago
Soybeans Nov 2014 913.25 -10.25 -1.11%
Soybeans Jan 2015 921.25 -11 -1.18%
Soybeans Mar 2015 929.75 -10.75 -1.14%
Soybeans May 2015 938 -10.75 -1.13%
Soybeans Jul 2015 944.5 -10.25 -1.07%
Soybeans Aug 2015 947.5 -10 -1.04%
Soybean Meal Oct 2014 304.6 -3.5 -1.14%
Soybean Meal Dec 2014 298.9 -5 -1.65%
Soybean Meal Jan 2015 297.4 -4.3 -1.43%
Soybean Oil Oct 2014 32.27 -0.52 -1.59%
Soybean Oil Dec 2014 32.37 -0.58 -1.76%
Soybean Oil Jan 2015 32.65 -0.57 -1.72%
Corn Dec 2014 320.75 -5 -1.53%
Corn Mar 2015 333.5 -5 -1.48%
Corn May 2015 342 -5 -1.44%
Corn Jul 2015 349.5 -4.5 -1.27%
Corn Sep 2015 356.75 -4.5 -1.25%
Oats Dec 2014 335.5 +1.5 +0.45%
Oats Mar 2015 322.5 +1.75 +0.55%
Oats May 2015 316.5 +1.25 +0.40%
Oats Jul 2015 312.25 -0.75 -0.24%
Oats Sep 2015 316.5 -0.5 -0.16%
Wheat Dec 2014 477.75 -3.5 -0.73%
Wheat Mar 2015 490.5 -3.5 -0.71%
Wheat May 2015 498.75 -4 -0.80%
Wheat Jul 2015 504.5 -4 -0.79%
Wheat Sep 2015 515.5 -3.25 -0.63%
Minneapolis
Spring Wheat Dec 2014 533.5 -5.75 -1.07%
Spring Wheat Mar 2015 548.25 -5.5 -0.99%
Spring Wheat May 2015 559.25 -5.75 -1.02%
Spring Wheat Jul 2015 570.25 -6 -1.04%
Spring Wheat Sep 2015 581 -6 -1.02%
Kansas City
Hard Red Wheat Dec 2014 558 -8.5 -1.50%
Hard Red Wheat Mar 2015 561.75 -8.5 -1.49%
Hard Red Wheat May 2015 564.75 -7.75 -1.35%
Hard Red Wheat Jul 2015 559.25 -7.5 -1.32%
Hard Red Wheat Sep 2015 570.75 -7.75 -1.34%
Light crude oil nearby futures in New York dropped $3.41 at $91.16 US per barrel on oversupply. A Reuters showed Organization of the Petroleum Exporting Countries output in September at its highest level in nearly two years, led by Libya as well as Saudi Arabia and other Gulf oil-exporting countries.
The Canadian dollar at noon was 89.22 cents US, down from 89.73 cents the previous trading day. The U.S. dollar at noon was $1.1208 Cdn.
Statistics Canada said on Tuesday that real gross domestic product in July was unchanged from June. Market analysts had expected a 0.2 percent advance. In the first six months of the year monthly growth had been averaging 0.3 percent.
In unofficial early tallies —
The Toronto Stock Exchange composite fell 16.41 points or 0.11 percent to 14,960.51.
The Dow Jones industrial average fell 28.29 points, or 0.17 percent, to 17,042.93, the S&P 500 lost 5.49 points, or 0.28 percent, to 1,972.31 and the Nasdaq Composite dropped 12.46 points, or 0.28 percent, to 4,493.39.
