North American Grain/Oilseed Review: Canola, grains tumble

Glacier FarmMedia | MarketsFarm – The ICE Futures canola market fell on Monday, pulled down by lower crude oil prices.

Both Brent crude oil and West Texas Intermediate lost US$4 per barrel after Israel said it would only strike Iranian military targets and stay away from oil facilities.

Chicago soyoil and European rapeseed were also dragged downwards, while Malaysian palm oil was mixed.

One analyst said lower prices could provide an opportunity for China to buy more canola. So far this marketing year, Canadian canola exports are more than double last year’s pace.

At mid-afternoon, the Canadian dollar was down nearly one-tenth of a United States cent compared to Friday’s close.

There were 62,391 canola contracts traded on Monday, which compares with Friday when 54,656 contracts changed hands. Spreading accounted for 28,670 of the contracts traded.

Losses bookended the weekend for the January SOYBEAN contract at the Chicago Board of Trade as harvest pressure outweighed strong export demand.

Ahead of the United States Department of Agriculture’s weekly crop progress report on Monday, the trade expects the USDA to show the country’s soybean harvest at more than 90 per cent complete.

The USDA’s export inspections report placed soybean exports at 2.38 million tonnes during the week ended Oct. 24. Cumulative exports were at 10.4 million tonnes so far this marketing year, above last year’s pace.

AgRural said Brazil soybean planting picked up its pace with 36 per cent now planted, compared to 40 per cent at this time last year.

All three December contracts for the major U.S. WHEAT varieties lost approximately 10 U.S. cents per bushel on Monday. It marked the second straight session they suffered double-digit losses.

U.S. wheat inspections of 247,659 tonnes of wheat were exported with the cumulative marketing year total at 9.51 million tonnes, above last year’s pace.

The Rosario Grain Exchange estimated Argentina’s wheat exports to total 13.3 million tonnes in 2024-25, the second-largest total on record. Approximately 19.5 million tonnes of wheat are expected to be harvested in Argentina during that year. Meanwhile, the USDA attaché in Buenos Aires pegged Argentine wheat out at 18 million tonnes with exports of 12 million.

FranceAgriMer said the country’s soft wheat crop is 21 per cent planted, down from 50 per cent one year ago.

CORN did not show losses as sharp as those for soybeans and wheat, but declined for the second consecutive session.

The USDA is expected to show the country’s corn harvest to be more than 80 per cent complete in its crop progress report.

Private exporters announced two large corn sales to the USDA on Monday, the first totaling 124,467 tonnes to Japan and the other 119,386 tonnes to unknown destinations.

U.S. corn inspections of 824,000 tonnes of U.S. corn were exported, down 18 per cent from last week and at the lower end of trade estimates. Cumulative totals for the marketing year are 6.62 million tonnes, above last year’s pace.

The USDA Buenos Aires desk estimated 2024/25 Argentine corn production at 48 million tonnes, down from last year due to spiroplasma last year and dry conditions this year.

AgRural estimated the Brazilian first corn crop to be 52 per cent planted as of Oct. 24.