Winnipeg, (MarketsFarm) – The ICE Futures canola market settled with small gains on Thursday, as the market continued to find some strength after dropping earlier in the week.
Crush margins remain at some of their best levels of the past year, making canola attractively priced for end users, according to traders.
Production uncertainty in parts of the Prairies was also supportive. However, the looming harvest kept a lid on the upside, with anecdotal reports pointing to decent crops in many areas.
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Chicago Board of Trade soybeans posted small losses, putting some pressure on canola.
About 12,748 canola contracts traded on Thursday, which compares with Wednesday when 16,625 contracts changed hands. Spreading accounted for 5,838 of the contracts traded.
SOYBEAN futures at the Chicago Board of Trade were weaker on Thursday, seeing some follow-through speculative selling after Wednesday’s declines.
The losses came despite relatively solid United States export data. Net cancellations of old crop business of about 110,000 tonnes more than made up for by new crop business of just over 800,000 tonnes, as some business was shifted into the new crop year.
U.S. soybean crushers were busy in July, setting a new record for the month with 168.1 million bushels of soybeans crushed during the month, according to a report from the National Oilseed Processors Association.
Soyoil stocks still tightened on the month, despite the solid crush pace and an increase in oil yields.
CORN was steady to higher, as the market saw some consolidation after dropping sharply earlier this week on the surprisingly large U.S. Department of Agriculture production forecast.
While corn may be due for a correction, the longer-term chart trend remained pointed lower. Uncertainty in the global financial markets kept some pressure on the corn market.
Weekly U.S. corn export sales of 56,000 tonnes of old crop business and 308,000 tonnes of new crop were in line with expectations.
WHEAT futures were mixed on Thursday, with gains in Kansas City hard red winter wheat and losses in the other markets.
Weekly U.S. wheat export sale of 462,000 tonnes were down from the same week the previous year, but at the higher end of trade estimates.
European wheat production for this year was pegged at 142.9 million tonnes by Strategie Grains. That would be up by 2.3 million from an earlier estimate. The agency also upped their export forecast by nearly three million tonnes, to 24.8 million tonnes.
OUTSIDE MARKETS
Light crude oil nearby futures in New York was down 76 cents at US$54.47 per barrel.
In the afternoon, the Canadian dollar was trading around US75.05 cents, up from 75.13 cents the previous trading day. The U.S. dollar was C$1.3325.
Winnipeg ICE Futures Canada dollars per tonne.
Canola Nov 19 451.20s +1.00 +0.22%
Canola Jan 20 458.90s +1.10 +0.24%
Canola Mar 20 465.50s +1.10 +0.24%
Canola May 20 471.20s +1.00 +0.21%
Canola Jul 20 476.30s +0.50 +0.11%
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 Sep 19 858-0s -7-4 -0.87%
Soybean Nov 19 870-6s -7-2 -0.83%
Soybean Jan 20 884-2s -7-2 -0.81%
Soybean Mar 20 897-0s -6-6 -0.75%
Soybean May 20 908-2s -6-6 -0.74%
Soybean Meal Sep 19 291.8s -2.8 -0.95%
Soybean Meal Oct 19 293.6s -2.8 -0.94%
Soybean Meal Dec 19 296.9s -3.0 -1.00%
Soybean Oil Sep 19 29.07s -0.10 -0.34%
Soybean Oil Oct 19 29.19s -0.10 -0.34%
Soybean Oil Dec 19 29.45s -0.10 -0.34%
Corn Sep 19 360-6s +1-6 +0.49%
Corn Dec 19 371-0s +0-6 +0.20%
Corn Mar 20 383-4s +0-2 +0.07%
Corn May 20 391-2s +0-2 +0.06%
Corn Jul 20 397-6s +0-2 +0.06%
Oats Sep 19 274-6s -2-0 -0.72%
Oats Dec 19 267-0s -4-6 -1.75%
Oats Mar 20 271-2s -4-4 -1.63%
Oats May 20 271-0s -4-2 -1.54%
Oats Jul 20 272-6s -4-0 -1.45%
Wheat Sep 19 469-0s -4-6 -1.00%
Wheat Dec 19 474-4s -3-6 -0.78%
Wheat Mar 20 481-0s -3-0 -0.62%
Wheat May 20 486-6s -2-4 -0.51%
Wheat Jul 20 491-0s -2-6 -0.56%
Minneapolis
Spring Wheat Sep 19 502-6s -2-6 -0.54%
Spring Wheat Dec 19 514-6s -2-6 -0.53%
Spring Wheat Mar 20 530-0s -2-6 -0.52%
Spring Wheat May 20 540-2s -2-6 -0.51%
Spring Wheat Jul 20 550-6s -2-4 -0.45%
Kansas City
Hard Red Wheat Sep 19 389-6s +5-0 +1.30%
Hard Red Wheat Dec 19 404-2s +3-4 +0.87%
Hard Red Wheat Mar 20 420-2s +3-6 +0.90%
Hard Red Wheat May 20 431-0s +4-0 +0.94%
Hard Red Wheat Jul 20 441-2s +4-2 +0.97%
Chicago livestock futures in US¢/pound, Pit trade
Live Cattle Aug 19 100.200s unch unch
Live Cattle Oct 19 98.525s +0.025 +0.03%
Live Cattle Dec 19 104.275s -0.275 -0.26%
Feeder Cattle Aug 19 135.775s +1.300 +0.97%
Feeder Cattle Sep 19 133.300s +0.475 +0.36%
Feeder Cattle Oct 19 133.750s +0.375 +0.28%
Lean Hogs Oct 19 65.000s -1.775 -2.66%
Lean Hogs Dec 19 63.750s -1.025 -1.58%
Lean Hogs Feb 20 70.250s -1.050 -1.47%
