Canola and soybeans fell sharply on Thursday as new long-term weather outlooks show that soybeans should be able to get through their pod setting stage in August without much stress.
The latest outlook for La Nina show that it is unlikely to form before the fall, making it more certain that the U.S. Midwest will not suffer extreme weather during the summer.
And with almost all of the Midwest set to get regular rain though the next two weeks, crops there are well set on the path to good yields.
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It is a similar story on the Canadian Prairies where most crops are developing well with good moisture and no excessive heat.
Rain is also expected over much of the Prairies this weekend and early next week. Lentils are one crop that won’t want additional moisture. Yields for the pulse could be quite disappointing because of the moisture.
November canola closed at $462.30, down $17.50 or 3.65 percent.
November soybeans fell 4.52 percent.
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The story today in corn was different. Prices initially rallied when Brazil’s Conab forecaster lowered its estimate of the year’s corn production to to 69.14 million tonnes from 76.22 million previously, reflecting problems in the second corn crop that is seeded following harvest of the soybean crop.
However, the corn rally stalled and then reversed, with contracts closing a fraction of a cent per bushel on either side of unchanged as traders took profits from the morning rally and adjusted positions to reflect the ideal Midwest weather and falling soybeans.
Wheat fell as a short covering rally stalled and as the U.S. winter wheat harvest continues to roll along at a good clip.
European wheat prices have experienced a bit of support recently from concerns about the harvest in France and Germany.
Rain has been excessive in the region and is now believed to be actually hurting yields as well as quality.
The weekly read of U.S. crude oil stockpiles fell slightly less than forecast, disappointing market bulls and sparking a strong sell off.
Light crude oil nearby futures in New York were down $2.29 or 4.7 percent to US$45.14 per barrel.
The Canadian dollar at noon was US77.02 cents, up from 76.89 cents the previous trading day. The U.S. dollar at noon was C$1.2984.
The Toronto Stock Exchange’s S&P/TSX composite index closed down 96.60 points, or 0.68 percent, at 14,134.46.
The Dow Jones industrial average fell 22.74 points, or 0.13 percent, to 17,895.88, the S&P 500 lost 1.83 points, or 0.09 percent, to 2,097.9 and the Nasdaq Composite added 17.65 points, or 0.36 percent, to 4,876.81.
Winnipeg ICE Futures Canada dollars per tonne
Canola Jul 16  461.80s  -17.50  -3.65%
Canola Nov 16  462.30s  -17.50  -3.65%
Canola Jan 17  469.20s  -17.30  -3.56%
Canola Mar 17  475.20s  -16.80  -3.41%
Canola May 17  480.00s  -16.20  -3.26%
Milling Wheat Jul 16  211.00s  -3.00  -1.40%
Milling Wheat Oct 16  209.00s  -2.00  -0.95%
Milling Wheat Dec 16  214.00s  -2.00  -0.93%
Durum Wheat Jul 16  283.00s  -3.00  -1.05%
Durum Wheat Oct 16  278.00s  -3.00  -1.07%
Durum Wheat Dec 16  281.00s  -2.00  -0.71%
Barley Jul 16  166.00s  unch  unch
Barley Oct 16  166.00s  unch  unch
Barley Dec 16  166.00s  unch  unch
American crop prices in cents US/bushel, soybean meal in $US/short ton, soy oil in cents US/pound
Chicago
Soybeans Jul 16  1054-2s  -52-0  -4.70%
Soybeans Aug 16  1050-4s  -51-0  -4.63%
Soybeans Sep 16  1034-0s  -50-6  -4.68%
Soybeans Nov 16  1024-6s  -48-4  -4.52%
Soybeans Jan 17  1024-6s  -47-2  -4.41%
Soybean Meal Jul 16  370.0s  -16.0  -4.15%
Soybean Meal Aug 16  367.2s  -16.2  -4.23%
Soybean Meal Sep 16  363.8s  -16.2  -4.26%
Soybean Oil Jul 16  29.73s  -0.52  -1.72%
Soybean Oil Aug 16  29.79s  -0.57  -1.88%
Soybean Oil Sep 16  29.90s  -0.57  -1.87%
Corn Jul 16  335-4s  -0-2  -0.07%
Corn Sep 16  341-6s  +0-2  +0.07%
Corn Dec 16  348-4s  +0-2  +0.07%
Corn Mar 17  357-2s  -0-4  -0.14%
Corn May 17  363-2s  -0-2  -0.07%
Oats Jul 16  227-4s  +9-4  +4.36%
Oats Sep 16  194-0s  +1-4  +0.78%
Oats Dec 16  195-4s  +2-0  +1.03%
Oats Mar 17  204-6s  +1-2  +0.61%
Oats May 17  209-2s  +1-2  +0.60%
Wheat Jul 16  412-0s  -3-6  -0.90%
Wheat Sep 16  425-4s  -3-0  -0.70%
Wheat Dec 16  446-2s  -1-6  -0.39%
Wheat Mar 17  464-0s  -1-2  -0.27%
Wheat May 17  476-0s  -1-0  -0.21%
Minneapolis
Spring Wheat Jul 16  486-0s  -11-0  -2.21%
Spring Wheat Sep 16  495-2s  -7-0  -1.39%
Spring Wheat Dec 16  511-4s  -5-6  -1.11%
Spring Wheat Mar 17  527-0s  -4-6  -0.89%
Spring Wheat May 17  536-6s  -4-6  -0.88%
Kansas City
Hard Red Wheat Jul 16  396-4s  -4-0  -1.00%
Hard Red Wheat Sep 16  412-2s  -2-4  -0.60%
Hard Red Wheat Dec 16  436-4s  -2-2  -0.51%
Hard Red Wheat Mar 17  452-6s  -2-4  -0.55%
Hard Red Wheat May 17  463-4s  -2-4  -0.54%
Chicago livestock futures in US¢/pound
Live Cattle (P) Aug 16  111.800s  -1.000  -0.89%
Live Cattle (P) Oct 16  112.225s  -0.875  -0.77%
Live Cattle (P) Dec 16  113.275s  -0.700  -0.61%
Feeder Cattle (P) Aug 16  143.625s  -0.950  -0.66%
Feeder Cattle (P) Sep 16  142.650s  -1.050  -0.73%
Feeder Cattle (P) Oct 16  141.275s  -1.200  -0.84%
Lean Hogs (P) Jul 16  81.050s  -0.525  -0.64%
Lean Hogs (P) Aug 16  80.125s  -0.500  -0.62%
Lean Hogs (P) Oct 16  69.475s  -0.425  -0.61%
