Market wrap: Canola loses $4.40 over the week

Canola futures edged higher on Friday with support from soy oil but lost ground over the week.

November canola closed at $471.90 up $1 on the day but down $4.40 one the week.

Statistics Canada said canola production was 14.3 million tonnes, similar to the forecast in the Crop Condition Assessment Program model forecast released a couple of weeks ago.

The numbers in today’s StatsCan farmer survey were, as expected, all higher than the previous survey done in July.

However, the numbers were close to the CCAP forecast of two weeks ago. That forecast was based on a model using satellite monitoring and weather data.

The only significant differences from the CCAP forecast were in barley where today’s report was at 7.61 million tonnes compared to 7.01 in the CCAP and peas which were 3.16 million tonnes compared to 2.87 million in CCAP.

The other significant news today was a sharp increase in the domestic canola crush, up almost 24 percent from the week before and the best performance in two months.

The crush was 165,368 tonnes, and capacity use for the week ending Sept. 30 was almost 83 percent up from 67 percent the previous week.

Nearby soy oil futures rose 2.77 percent Friday on a report Thursday that showed tighter soy oil stocks in the U.S., but the contract price was barely changed on the week

U.S. wheat futures sank on Friday on a round of end-of-week profit taking after prices hit an 8 ½ week high on Thursday, traders told Reuters.

Soybeans also fell, pressured by the expanding harvest of what is expected to be a bumper crop in the United States, while corn was close to unchanged.

While wheat closed lower Friday the Chicago contract rose almost one percent on the week and has risen for four weeks in a row, its longest streak since December 2014.

For the week, corn dipped 0.1, snapping a streak of three straight weeks of gains. Soybeans fell 1.6 percent this week.

While current wheat supplies are more than ample, wheat saw support this week from dry weather that could trim future harvests.

Rain has been inadequate in the Black Sea region where farmers are sowing winter wheat into dry soil. The dryness could hurt germination and establishment.

Although the U.S. southern Plains saw good moisture through the summer, it has turned dry since the end of August.

Australian wheat got off to a good start with good moisture but it has now turned dry and that could trim the production outlook, which had been for a strong crop up until now.

The U.S. posted weaker than expected job creation in September leading to ideas that the Federal Reserve might hold back on increasing interest rates at its meeting in late October.

Crude oil rose on a report that showed the number of oil rigs operating in the United States fell for the fifth consecutive week, raising ideas that production might start to fall and address the surplus production.

The Toronto Stock Exchange’s S&P/TSX composite index closed up 97.85 points, or 0.74 percent, at 13,339.74.

The Dow Jones industrial average rose 1.23 percent to end at 16,472.37 points.

The S&P 500 gained 1.43 percent to 1,951.36. It bounced about three percent from its intra-day low to its closing level, Reuters said.

The Nasdaq Composite jumped 1.74 percent to finish at 4,707.78.

For the week the Toronto composite fell 0.3 percent, the Dow and S&P both rose one percent and the Nasdaq added 0.5 percent.

Light crude oil nearby futures in New York Friday were up 80 cents to US$45.54 per barrel.

The Canadian dollar at noon was US75.68 cents, up from 75.52 cents the previous trading day. The U.S. dollar at noon was C$1.3214.

Winnipeg ICE Futures Canada dollars per tonne

Canola Nov 2015 471.90 +1.00 +0.21%

Canola Jan 2016 476.90 +0.70 +0.15%

Canola Mar 2016 478.80 +0.50 +0.10%

Canola May 2016 478.80 +0.40 +0.08%

Canola Jul 2016 477.80 unch 0.00%

Milling Wheat Oct 2015 239.00 -1.00 -0.42%

Milling Wheat Dec 2015 243.00 -1.00 -0.41%

Milling Wheat Mar 2016 248.00 -1.00 -0.40%

Durum Wheat Oct 2015 345.00 unch 0.00%

Durum Wheat Dec 2015 345.00 unch 0.00%

Durum Wheat Mar 2016 350.00 unch 0.00%

Barley Oct 2015 190.00 unch 0.00%

Barley Dec 2015 185.00 unch 0.00%

Barley Mar 2016 187.00 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 2015 874.25 -3 -0.34%

Soybeans Jan 2016 878.25 -2.5 -0.28%

Soybeans Mar 2016 882 -2.75 -0.31%

Soybeans May 2016 886.25 -2 -0.23%

Soybeans Jul 2016 891.5 -2 -0.22%

Soybeans Aug 2016 891.25 -1.75 -0.20%

Soybean Meal Oct 2015 298.5 -4.1 -1.35%

Soybean Meal Dec 2015 301.2 -2.7 -0.89%

Soybean Meal Jan 2016 300.5 -2.7 -0.89%

Soybean Oil Oct 2015 27.84 +0.75 +2.77%

Soybean Oil Dec 2015 28.06 +0.74 +2.71%

Soybean Oil Jan 2016 28.34 +0.71 +2.57%

Corn Dec 2015 389.25 +0.5 +0.13%

Corn Mar 2016 399.5 -0.25 -0.06%

Corn May 2016 406 -0.25 -0.06%

Corn Jul 2016 410.25 -0.5 -0.12%

Corn Sep 2016 403 -0.75 -0.19%

Oats Dec 2015 212.25 -8.75 -3.96%

Oats Mar 2016 216.5 -7.75 -3.46%

Oats May 2016 220.75 -8 -3.50%

Oats Jul 2016 223.25 -10.75 -4.59%

Oats Sep 2016 225.5 -8.5 -3.63%

Wheat Dec 2015 513.25 -5 -0.96%

Wheat Mar 2016 519 -5.25 -1.00%

Wheat May 2016 523.25 -5 -0.95%

Wheat Jul 2016 525.25 -4.5 -0.85%

Wheat Sep 2016 533 -4.25 -0.79%

Minneapolis

Spring Wheat Dec 2015 527.25 -6 -1.13%

Spring Wheat Mar 2016 540 -6.25 -1.14%

Spring Wheat May 2016 549.25 -6.25 -1.13%

Spring Wheat Jul 2016 558.25 -3.5 -0.62%

Spring Wheat Sep 2016 569 -4 -0.70%

Kansas City

Hard Red Wheat Dec 2015 500.5 -7 -1.38%

Hard Red Wheat Mar 2016 514.75 -7 -1.34%

Hard Red Wheat May 2016 524.75 -7 -1.32%

Hard Red Wheat Jul 2016 534.75 -7 -1.29%

Hard Red Wheat Sep 2016 548.75 -6.75 -1.22%

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