By Jade Markus and Dave Sims, Commodity News Service Canada
Winnipeg, October 5 (CNS Canada) – ICE Futures Canada canola ended unchanged to slightly stronger on Wednesday, following a day of choppy trade.
Snow in parts of Saskatchewan is keeping a weather premium in the market, as it delays harvest and could reduce the quality of crops still in the fields.
But spillover losses from US soybean and soy oil markets capped gains.
The US soybean crop is expected to reach record-high levels, market watchers say, which is bearish.
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About 18,772 canola contracts traded on Wednesday, which compares with Tuesday when 24,351 contracts changed hands. Spreading accounted for about 5,500 of the contracts traded.
Durum and barley futures were all untraded and unchanged, while milling wheat was revised higher after the close.
SOYBEAN futures drifted five to six cents per bushel lower in consolidative trading.
Ideas that soybean yields in the US could be even bigger than initially projected, weighed on values.
The downward harvest pressure may have been slightly exaggerated as Chinese buying is not a factor right now due to the Golden Week holiday.
Soyoil finished 23 to 26 points lower.
SOYMEAL futures fell in sympathy with soybeans and soyoil.
Corn futures weakened slightly Wednesday on technical trading.
There are growing ideas the market is over-bought, according to numerous reports. Cautionary selling was a feature of today’s activity, according to an analyst.
The harvest in the major corn-growing state of Iowa has been delayed by excess rains, according to the USDA.
Wheat futures on the Chicago Board of Trade showed continued firmness, rising eight to nine cents per bushel, in the wake of USDA projections calling for smaller-than-expected production of hard red spring wheat in the US.
Technical buying was a feature as the front-month December contract rose above the psychologically-important US$4.00 a bushel mark.
Egypt bought 240,000 tonnes of wheat from Russia.
– Japan is tendering for 140,000 tonnes of wheat.
– Excess dryness in Turkey will lower the country’s wheat production, according to a new report from the USDA.
