Canola futures closed higher on Thursday lifted by rising soybeans.
There remains much uncertainty about the final size and quality of the Canadian canola crop, but the forecast for dry, warm weather through the coming week means harvest will resume in earnest.
Saskatchewan Agriculture said today only 18 percent of the harvest is in the bin, well off the five-year average of 65 percent.
Soybeans rose on large weekly exports of U.S. soybeans and on a report by Informa Economics that said it has revised its estimate of this year’s seeded acreage, cutting the soybean area by 1.4 million acres and raising corn by 250,000.
It also forecast that next spring U.S. farmers would raise corn and wheat area from this year’s crop and decrease soybean seedings.
In Winnipeg, November canola rose $1.50 per tonne to $475.90 on 11,060 trades.
The January contract rose $1.30 to $480.50 on 3,531 trades.
The previous day’s best basis narrowed to $16.13 per tonne under the November contract in the par region, according to the Winnipeg ICE Futures daily report.
The 14-day Relative Strength Index for November was 66 according to BarChart.com. The rule of thumb is an RSI of 30 indicates an over sold market and 70 indicates an over bought market.
Winnipeg October barley jumped $9 to $179 per tonne on 35 trades. December was steady and untraded at $182.
Chicago new crop November soybeans rose five cents to $10.935 US per bushel. January rose 4.75 cents to $11.0325.
December oats fell six cents to $3.38 per bu. March oats fell 5.75 cents to $3.4425.
In New York, crude oil for November delivery rose 47 cents to $75.18 US per barrel.
The Canadian dollar at noon was 96.99 cents US, up slightly from 96.83 the previous trading day. The U.S. dollar at noon was $1.0310 Cdn.
The TSX composite closed at 12,101.79, down 45.47 points. The Standard & Poor’s 500 Index fell 9.45 points to 1,124.83.
