North American Grains/Oilseed Review – Canola ticks higher ahead of report

By Dave Sims, Commodity News Service Canada

Winnipeg, Sept. 10 (CNS Canada) – The ICE Futures canola platform recorded minor gains on Monday, as a pending report by the United States Department of Agriculture kept a note of caution in the air.

On Wednesday the USDA will release its production estimates and there are ideas it could feature a hike to the soybean yield in the U.S.

Modest gains in the Chicago Board of Trade soy complex lent some strength to futures.

Funds remain short in the market and cold weather in northern Alberta has raised concerns about possible frost and snow.

Crush margins remain relatively weak and farmer selling is on the rise.

Spreads are expected to widen out in the next couple of days, according to a trader in Winnipeg.

About 7,650 canola contracts traded, which compares with Friday when 12,000 contracts changed hands. Spreading accounted for 3,294 of the contracts traded.

Settlement prices are in Canadian dollars per metric tonne.

Soybean futures on the Chicago Board of Trade finished slightly stronger in speculative buying.

The market corrected slightly higher in the wake of last week’s losses.

Sales of old crop soybeans are moving extremely slowly right now and the ongoing trade tension between China and the United States weighed on futures.

The corn market chopped higher in light trade.

Dry weather is expected this week in the U.S. Corn Belt, which should help harvest efforts.

This week’s U.S. export sales report pegged new crop sales at 1.03 million tonnes, which was in the upper end of trade guesses.

Chicago wheat futures recorded strong gains on Monday, just one trading session after futures hit their lowest point since mid-July.

All of the wheat markets in the U.S. have been pressured in recent weeks by cheap Russian wheat, which has been flooding the market.

Most analysts expect this week’s USDA production report to put world carryover stocks at 257.6 million tonnes, which would be down roughly one million tonnes from last month’s estimates.

Commodity Future Prices

updated 2018-09-20 10:25
Price Change

Prices are in Canadian dollars per metric ton

COPA Medallion COPA finalist in 2012, 2014 and 2015.
©2019 AGCanada is a production of Glacier FarmMedia Limited Partnership. Any affiliated or third party content is the property of its respective owner and is used with permission.
Please refer to Copyright Page for details.
Click here to view our Website Terms of Use.