By Glen Hallick, MarketsFarm
WINNIPEG, Sept. 10 (MarketsFarm) – Intercontinental Exchange (ICE) Futures canola contracts were higher on Thursday, managing to take back most, if not all, of yesterday’s losses.
A trader stated that higher basis quotes are being offered by crushers and elevators, as an attempt to entice harvest sales. He said in some Alberta locations, cash prices were as high as C$11.50 per bushel.
Chicago soyoil remained firm today, but there were losses in European rapeseed and Malaysian palm oil.
At mid-afternoon, the Canadian dollar was relatively steady at 75.86 U.S. cents, compared to Wednesday’s close of 75.91.
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By Glen Hallick, MarketsFarm Glacier Farm Media MarketsFarm – Intercontinental Exchange canola futures were stronger on Thursday, in gleaning support…
Saskatchewan Agriculture reported the province-wide harvest was at 43 per cent complete. About 23 per cent of the canola has been combined with another 49 per cent swathed or ready for straight cut.
There were 35,064 contracts traded on Thursday, which compares with Wednesday when 23,126 contracts changed hands. Spreading accounted for 21,316 contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Price Change
Canola Nov 509.80 up 4.40
Jan 517.30 up 5.10
Mar 523.30 up 5.80
May 526.60 up 5.30
SOYBEAN futures at the Chicago Board of Trade (CBOT) were slightly lower on Thursday, due to market positioning ahead of a series of United States Department of Agriculture (USDA) reports.
The USDA is scheduled to release is World Agriculture Supply and Demand Estimates (WASDE) along with its crop production report tomorrow at 11 am CDT. Shortly after, the department will issue its world agriculture production report as well as its reports on global grains and oilseeds.
Also, the USDA has delayed its weekly exports sales report to Friday morning, due to the Labour Day long weekend.
The USDA reported a private sale of 195,000 tonnes of soybeans to China. Delivery is for the current marketing year.
CONAB reported the Brazil soybean harvest produced 124.8 million tonnes in 2020 for a 4.3 per cent increase over 2019’s production.
A private consultant raised their forecast on Brazil soybean exports in September by 110,000 tonnes to 4.3 million.
The Rosario Grain Exchange pegged the 2020 Argentina soybean harvest to be 50.0 million tonnes.
CORN futures were higher on Thursday, due to pre-report positioning and a drop in ethanol stocks.
Ethanol production in the U.S. was up two per cent for the week ended Sept. 4, at almost 6.59 million barrels, according to the Energy Information Administration (EIA). Stocks were down 889,000 barrels at slightly under 20.0 million. In August, stocks stood at 22.5 million barrels.
The Renewable Fuels Association, the National Corn Growers Association, the National Farmers Union and the American Coalition for Ethanol are hopeful the U.S. Supreme Court will overturn an appeal by several refineries regarding blending exemptions.
CONAB said Brazil corn production in 2020 amounted to 102.5 million tonnes for a 2.5 per cent increase compared to 2019.
The private consultant boosted their projection for Brazil corn exports this month by 920,000 tonnes to 5.7 million.
Reports said the Brazil government is set to extend the tariff-free ethanol program for three months.
African swine fever was found in a wild boar in Germany. Containment measures are being taken in hopes of preventing the deadly disease from spreading to commercial hog operations. This includes delaying the corn harvest to prevent the movement of wild boar hiding in the fields.
WHEAT futures were steady to higher on Thursday, with gains for Chicago and Kansas City while Minneapolis was unchanged.
Market expectations for the WASDE are for global wheat stocks to slip by 700,000 tonnes at 316.1 million, despite increased production in Australia and Russia. However, dry conditions remain a concern in Russia and the Black Sea region.
In international sales, Saudi Arabia issued a tender for 655,000 tonnes of hard milling wheat and 60,000 tonnes of soft milling wheat. Tunisia put out a tender for 42,000 tonnes of soft milling wheat and 25,000 tonnes of durum. Pakistan acquired 60,000 tonnes of wheat.
