By Ashley Robinson, Commodity News Service Canada
Winnipeg, Jan. 14 (CNS Canada) – The ICE Futures canola contacts finished the day weaker, trading below the C$480 per tonne mark during the session.
Chicago Board of Trade (CBOT) soybean, oil and meal contracts were all down too. There is concern about waning Chinese interest for United States soybeans. Many traders are thinking China is done purchasing U.S. soybeans and will wait to buy more until the South American harvest starts and they can buy from there.
In Canada traders are also thinking the current tensions between China and Canada have caused China to stop buying as much Canadian canola. Tensions have been on high alert since Canada arrested the Huawei chief financial officer and in recent days China has sentenced a Canadian to death over drug smuggling charges.
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About 15,341 canola contracts traded, which compares with Monday when 9,671 contracts changed hands. Spreading accounted for 7,158 of the contracts traded.
The National Oilseed Processors Association (NOPA) December soybean crush was released Tuesday morning. U.S. crush came in at 171.759 million bushels last month; this was the third highest on record for any month and above trade estimates.
China has culled 916,000 pigs after having around 100 outbreaks of African swine fever in the country, the agriculture ministry announced Tuesday. However, compared to the almost 700 million pigs China slaughtered in 2017, this current cull is a small amount of the Chinese hog population.
CBOT corn prices finished the day in the red.
The safrinha corn crop in the Parana region of Brazil is nine per cent seeded, which is up from last week and ahead of last year.
A private analyst has raised its estimate for Ukraine’s total grain exports to 46.07 million tonnes, due to an increase in corn exports to 25.75 million tonnes.
Wheat futures in the U.S. also finished the day weaker, being pulled down by the weaker corn and soy contracts.
Japan has a tender out for 111,961 tonnes of wheat.
China is still selling small chunks of their wheat stocks at auction. They sold 1,908 tonnes of wheat overnight.
The European Union soft wheat exports for the 2018/19 crop year are down by 26 per cent.
