North American Grain and Oilseed Review: Canola can’t sustain gains
U.S. wheat, corn edge higher, as soybeans fall
By Glen Hallick, MarketsFarm
Glacier Farm Media MarketsFarm – As the trading of canola futures on the Intercontinental Exchange resumed following Christmas and Boxing Day, they failed to hang to their late session increases on Friday with most contracts closing to the downside.
Pressure on the Canadian oilseed came from losses in Chicago soybeans and soymeal, along with those in European rapeseed. Gains in Chicago soyoil and Malaysian palm oil helped to limit further decreases. As well, upticks in crude oil underpinned the vegetable oils.
Statistics Canada reported the November canola crush came to 1.02 million tonnes, up more than 12 per cent from a year ago. StatCan also reported November canola deliveries were 1.45 million tonnes versus 1.64 million the previous November.
Despite the declines in the March canola contract, it held above its 20-day moving average.
There were 32,188 contracts traded on Friday, compared to 30,936 on Tuesday. Spreading accounted for 14,260 contracts traded.
Prices are in Canadian dollars per metric tonne:
Price Change Canola Jan 621.90 up 1.90 Mar 617.20 dn 2.60 May 623.50 dn 1.90 Jul 625.80 dn 2.30
SOYBEAN futures at the Chicago Board of Trade were lower on Friday along soymeal, but there were slight increases in soyoil.
The United States Department of Agriculture issued its export sales report for the week ended Dec. 19, showing those soybeans comprised of 978,400 tonnes of old crop, and 125,000 tonnes of new crop. The old crop sales were a marketing year low and came in below market expectations, while new crop sales were at the high end of projections.
Export sales of U.S. soymeal came to 389,600 tonnes and within trade guesses while those for new crop were 96,000 tonnes. At 40,400 tonnes, soyoil export sales surpassed market estimates.
Brazil exporter group ANEC placed the country’s December soybean exports at 1.62 million tonnes.
The Buenos Aires Grain Exchange reduced its call on planted soybean area in Argentina by 500,000 acres at 45.47 million.
The South American weather outlook has called for near normal rains for most of Brazil, while the country’s southern portions and Argentina are to get below normal amounts.
CORN futures were slightly higher on Friday, as spillover from crude oil and wheat helped to keep it on the positive side.
The USDA said corn export sales were 1.71 million tonnes of old crop, which were above trade guesses and those for new crop were within range at 10,000 tonnes.
The U.S. Energy Information Administration reported weekly ethanol production rose by 4,000 barrels per day at nearly 1.11 million BPD/ Ethanol stocks added 438,000 barrels at 23.07 million.
The BAGE placed planted corn area in Argentina at 16.30 million acres, for an increase of 750,000.
WHEAT futures were higher on Friday due to good export sales.
At 612,400 of old crop, U.S. wheat export sales edged above market expectations and those for new crop tallied 12,600 tonnes.
Statistics Canada reported total wheat deliveries in November were 2.76 million tonnes, down from the 3.36 million the year before. Durum deliveries came to 651,603 tonnes, improving upon the 390,129 tonnes last November.
IKAR projected 2025/26 Russian wheat exports at 41 million tonnes, with the country’s world market share to drop five points at 20 per cent.
