Strong soy boost canola contracts

The ICE Futures canola contacts rallied throughout the day Wednesday to close stronger, following the lead of the soy complex.

Chicago Board of Trade (CBOT) soybean, oil and meal contracts finished the day stronger. The soybean market has been rallying as of late on expectations of Chinese soybean purchases, only to lose ground near market close as the partial United States government shutdown means there have been no export sales reported to confirm soybean purchases.

There is still concern about dryness in Brazil affecting the soybean crop, which is providing support for the oilseed markets. Many analysts are lowering their soybean production estimates for the country.

Canola contracts were stronger, despite the Canadian dollar strengthening during the commodity trading session.

About 7,790 canola contracts traded, which compares with Monday when 4,181 contracts changed hands. Spreading accounted for 4,710 of the contracts traded.

Officials from the U.S. and Chinese will meet face-to-face next week on Jan. 7 to talk about trade. The market is speculating China could purchase U.S. soybeans before the meeting.

U.S Department of Agriculture (USDA) soybean export inspections fell short of estimates at 677,679 tonnes on Monday.

CBOT corn prices finished the day mostly stronger, finding some spillover support from the soy complex. As of late corn futures have been trading below moving averages.

Weekly corn export inspections from the USDA released on Monday were in-line with estimates at 913,797 tonnes.

Wheat futures in the U.S. finished the day in the green.
USDA wheat export inspections came in on the lower end of the estimates at 376,281 tonnes.

Taiwan has tendered 111,650 tonnes of U.S. milling wheat.

The USDA winter wheat and canola seedings report is scheduled to be released next week on Jan. 11, along with the supply and demand report. However, the partial government shutdown has put the release of these reports into question.

 

OUTSIDE MARKETS

Light crude oil nearby futures in New York was up $1.13 at US$46.54 per barrel.

In the afternoon, the Canadian dollar was trading around US73.53 cents, up from 73.30 cents the previous trading day. The U.S. dollar was C$1.3600.

 

Winnipeg ICE Futures Canada dollars per tonne.

Canola Jan 19 481.80s +8.80 +1.86%

Canola Mar 19 488.80s +4.60 +0.95%

Canola May 19 497.10s +4.40 +0.89%

Canola Jul 19 504.20s +4.10 +0.82%

Canola Nov 19 501.40s +4.40 +0.89%

 

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

Soybeans Jan 19 894-6s +12-2 +1.39%

Soybeans Mar 19 907-0s +12-0 +1.34%

Soybeans May 19 919-4s +11-6 +1.29%

Soybeans Jul 19 931-2s +11-0 +1.20%

Soybeans Aug 19 936-0s +10-6 +1.16%

 

Soybean Meal Jan 19 311.0s +4.8 +1.57%

Soybean Meal Mar 19 314.9s +5.0 +1.61%

Soybean Meal May 19 318.3s +5.0 +1.60%

 

Soybean Oil Jan 19 27.90s +0.35 +1.27%

Soybean Oil Mar 19 28.18s +0.33 +1.18%

Soybean Oil May 19 28.44s +0.32 +1.14%

 

Corn Mar 19 375-6s +0-6 +0.20%

Corn May 19 383-4s +0-4 +0.13%

Corn Jul 19 391-0s +0-2 +0.06%

Corn Sep 19 393-6s +0-2 +0.06%

Corn Dec 19 398-2s +0-6 +0.19%

 

Oats Mar 19 278-2s +3-0 +1.09%

Oats May 19 280-6s +2-6 +0.99%

Oats Jul 19 283-0s +3-2 +1.16%

Oats Sep 19 271-4s +2-4 +0.93%

Oats Dec 19 269-6s +1-6 +0.65%

 

Wheat Mar 19 506-6s +3-4 +0.70%

Wheat May 19 513-0s +2-4 +0.49%

Wheat Jul 19 520-2s +1-6 +0.34%

Wheat Sep 19 530-6s +2-4 +0.47%

Wheat Dec 19 545-6s +3-2 +0.60%

 

Minneapolis

Spring Wheat Mar 19 554-0s +5-0 +0.91%

Spring Wheat May 19 559-4s +5-2 +0.95%

Spring Wheat Jul 19 566-6s +5-4 +0.98%

Spring Wheat Sep 19 575-0s +5-2 +0.92%

Spring Wheat Dec 19 589-6s +5-0 +0.86%

 

Kansas City

Hard Red Wheat Mar 19 492-4s +3-6 +0.77%

Hard Red Wheat May 19 503-2s +2-4 +0.50%

Hard Red Wheat Jul 19 514-2s +1-6 +0.34%

Hard Red Wheat Sep 19 527-0s +1-2 +0.24%

Hard Red Wheat Dec 19 544-0s +1-4 +0.28%

 

Chicago livestock futures in US¢/pound, Pit trade

Live Cattle Feb 19 123.525s -0.350 -0.28%

Live Cattle Apr 19 125.775s -0.475 -0.38%

Live Cattle Jun 19 117.150s +0.075 +0.06%

 

Feeder Cattle Jan 19 147.950s -0.900 -0.60%

Feeder Cattle Mar 19 145.950s -0.800 -0.55%

Feeder Cattle Apr 19 146.600s -0.650 -0.44%

 

Lean Hogs Feb 19 61.700s +0.725 +1.19%

Lean Hogs Apr 19 67.550s +0.475 +0.71%

Lean Hogs May 19 73.825s +0.450 +0.61%

 

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