WINNIPEG – The ICE Futures canola market was mostly lower on Tuesday largely due to weakness in other vegetable oils.
Chicago soyoil was down, as well as European rapeseed and Malaysian palm oil. Crude oil gained more than US$1 per barrel despite concerns over tighter monetary policy and growing crude oil stockpiles in the United States.
At mid-afternoon, the Canadian dollar was down two-tenths of a U.S. cent compared to Monday’s close. Statistics Canada reported on Tuesday that the economy was stagnant during the fourth quarter of 2022, potentially easing fears of further key interest rate hikes.
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ICE Midday: Canola retreats further into the red
Glacier FarmMedia | MarketsFarm – Canola futures on the Intercontinental Exchange remained lower in the middle of trading on Tuesday…
About 33,238 canola contracts were traded on Tuesday, which compares with Monday when 32,838 contracts changed hands. Spreading accounted for 18,684 of the contracts traded.
It was a down day on the Chicago Board of Trade (CBOT) on Tuesday as traders squared up their positions for month end and fears persisted over future key interest rate hikes by the United States Federal Reserve.
CORN prices dropped for the fifth straight day and fell by the double-digits for the third time in four sessions.
Mexico’s economy ministry said on Monday that the U.S.’s disagreement of Mexico’s plan to limit genetically modified corn imports is “politically motivated”. The plan would ban imports of genetically modified corn for human consumption in Mexico, for which the U.S. has threatened a trade dispute panel. The U.S. Trade Representative office has said the deal would threaten billions of dollars of corn trade.
The 2023-24 Texas corn crop was five per cent planted as of Feb. 26, one point ahead of the average pace.
Ukrainian Black Sea grain exports were reported at more than 525,000 tonnes for the week ended Feb. 26, down from 760,000 in the previous week, for a total of 22.5 million tonnes this season.
SOYBEANS suffered its largest price drop since Dec. 1, falling by more than 30 U.S. cents per bushel for the first time since Jan. 3.
The Argentine Agrarian Federation will have a protest today, blocking a highway from Rosario to Buenos Aires to raise awareness of financial conditions for farmers. The Buenos Aires Grain Exchange recently cut its projection for the country’s soybean crop to 38 million tonnes.
Traders are anticipating a January soy crush of 189.6 million bushels for Wednesday’s U.S. Department of Agriculture’s Fats and Oils Report. Soyoil stocks were estimated by the trade at 2.37 billion pounds.
Chicago WHEAT fell for the third straight day, while Kansas City hard red wheat and Minneapolis spring wheat extended their strings of declines to six and seven days, respectively.
Regions in eastern Texas, Oklahoma and Kansas are expecting one to two inches of precipitation over the next week.
Winter wheat conditions in Kansas and Texas were rated at 19 per cent good to excellent, while the crop in Illinois was rated 82 per cent good to excellent.
Iraq’s tender for 250,000 tonnes of wheat is believed to have been filled by Australia.
