WINNIPEG — The ICE Futures canola market had small gains to start the week amid mixed sentiment in comparable oils and a stronger Canadian dollar.
Chicago soyoil and Malaysian palm oil were both higher on Monday, but European rapeseed was lower. Crude oil was also down as many await a ground offensive by Israeli forces into the Gaza Strip.
At mid-afternoon, the Canadian dollar was up one quarter of a United States cent compared to Friday’s close.
High temperatures in the Prairies will be in the double digits Celsius on Monday with clear skies throughout the region except for rain in northern Alberta.
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About 43,513 canola contracts were traded on Monday, which compares with Friday when 67,212 contracts changed hands. Spreading accounted for 34,272 of the contracts traded.
The December CORN contract was in the red for the second straight session, falling away from the US$5 per bushel mark, which it hasn’t reached since Aug. 21.
According to the Commitment of Traders report from the U.S. Commodity Futures Trading Commission, the funds shrank corn’s net short position by 45,000 contracts to more than 110,400 as of Oct. 10.
The USDA reported that 434,400 tonnes of corn were shipped during the week ended Oct. 12, down nearly half from last week with Mexico as the top destination.
CONAB forecasted Brazilian corn production to be down 9.5 per cent from last year to 119.4 million tonnes, due to a 4.8 per cent drop in plantings and lower yields.
Crop consultant Dr. Michael Cordonnier projected Brazilian corn production at 125 million tonnes.
SOYBEAN futures posted small gains on Monday, although the most-active November contract held below resistance at US$13 per bushel once again.
The Commitment of Traders report showed that the funds flipped soybeans’ position from net long 2,400 contracts to net short more than 3,000 as of Oct. 10.
The USDA reported 2.01 million tonnes of soybeans shipped during the week ended Oct. 12, up 43 per cent from last week with China as the top destination.
The National Oilseeds Processors Association reported that crushers in the U.S. processed 165.456 million bushels, up 4.6 per cent from last year. Soyoil stocks were 1.108 billion pounds, the tightest since Dec. 2014.
CONAB projected a record soybean crop for Brazil at 162 million tonnes, with plantings to rise 2.5 per cent. Cordonnier also predicted 162 million tonnes.
Chicago WHEAT and Kansas City hard red wheat both finished the day lower, but Minneapolis spring wheat had positive momentum at the close.
The Commitment of Traders report showed that Chicago wheat’s net short position grew by 4,600 contracts to 110,200. Kansas City hard red wheat’s net short position also grew by 2,000 to 26,110. Minneapolis spring wheat’s net short position was at 23,600 as of Oct. 10 after growing by 2,500 contracts.
Nearly 354,800 tonnes of U.S. wheat were shipped during the week ended Oct. 12, up 48,000 from last week.
Both the Rosario and Buenos Aires Grain Exchanges cut their forecasts for Argentina’s wheat crop to 14.3 million and 16.2 million tonnes respectively.
China has recently purchased U.S., French and Australian wheat, while Egypt has purchased Russian, Romanian and Bulgarian wheat.
Tunisia booked 100,000 tonnes of durum wheat via international tender.
