By Ashley Robinson, Commodity News Service Canada
WINNIPEG, Oct. 19 (CNS) – The ICE Futures canola platform
were stronger at market close following yesterday’s drop, as the
market finished the week in its see-saw pattern.
However, unlike the rest of the week the canola market was
able to regain its losses from the previous day, breaking the
downward trend of the week.
Chicago Board of Trade (CBOT) soybeans and meal contracts were
weaker, while soyoil contracts were stronger. Many expected the
soybean market would see a rebound following Thursday’s large
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The Alberta crop report released today showed minimal
harvest progress across the province as of Tuesday. The canola
crop was 30 per cent complete, up four percentage points from
the previous week.
However, news continues to flood in of farmers being able
to return to the fields this week. Traders are beginning to
worry more though about the quality of the crop that will be
brought in. Grain buyers are also worrying and are rushing to
buy canola to keep their crushing plants going.
The Canadian dollar was weaker at market close, which was
supportive for canola.
About 28,885 canola contracts traded, which compares with
Thursday when 20,014 contracts changed hands. Spreading
accounted for 18,416 of the contracts traded.
The United States Department of Agriculture (USDA)
announced China cancelled a sale of 180,000 tonnes of U.S.
soybeans Friday morning. It also said 120,000 tonnes of optional
origin beans to unknown destinations were cancelled Thursday.
While Chinese buyers still have 32.5 million bushels of
soybean sales on the books, total commitments are down 92 per
cent from year-ago levels.
According to the Chinese government though, China has ample
soybean stocks and price fluctuations are unlikely. The
government also said domestic planted acreage has increased and
China is set for a bumper harvest.
CBOT corn prices finished the day weaker.
The long range forecast is calling for above normal
precipitation for most of the U.S. Corn Belt, which could hamper
harvest progress. However, the short range forecast looks clear
for the next five to seven days.
Wheat futures in the U.S. finished the day in the green.
The Alberta crop report released today showed minimal
harvest progress across the province as of Tuesday. The spring
wheat crop was 60 per cent done, up three percentage points from
the previous week.
The Russian harvest is nearing completion. The wheat crop
is 98 per cent combined and fears of not having enough wheat are
beginning to fade. The Russian Agriculture Ministry has raised
its forecast for this year’s wheat crop to 68 to 69 million
tonnes.
Japan purchased 98,180 tonnes of wheat Friday morning, with
the U.S. accounting for 71,000 tonnes and Australia the rest. On
Thursday, Japan bought 127,000 tonnes of milling wheat, with the
U.S. accounting for 60,000 tonnes.
