By Dave Sims, Commodity News Service Canada
Winnipeg, November 29 – THE ICE Futures Canada canola market finished lower on Tuesday, tracking losses in US soybeans and soyoil while also seeing some follow-through selling.
“Canola lagged the soy markets a bit recently and hasn’t closed that gap,” noted a Winnipeg-based trader.
He added a lot of canola was taken off Western Canadian fields during the past month, and despite the current wet conditions, some combines were still out today.
Losses in crude oil and European rapeseed futures added to the bearish tone.
Read Also
North American grain/oilseed review: Canola ends lower after choppy day
Glacier FarmMedia — The ICE Futures canola market was weaker on Monday, settling below nearby chart support after trading to…
However, strength in Malaysian palm oil limited the losses.
The Canadian dollar was slightly weaker relative to its US counterpart, which was supportive.
Milling wheat, barley and durum were untraded.
About 23,949 canola contracts traded on Tuesday which compares with Monday when 27,333 contracts changed hands. Spreading accounted for about 13,466 of the contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Spread trade prices are in Canadian dollars and the volume represents the number of spreads:
SOYBEAN futures at the Chicago Board of Trade finished 10 to 13 cents per bushel lower on Tuesday . The market was correcting lower in the wake of yesterday’s strong gains.
Traders also booked profits while slumping crude oil prices pointed the way downward.
New estimates suggest that soybean crushing in the European union will come in at 15.4 million tonnes during the period of September 2016 to August of 2017, which compares to just 15 million last year.
On the other side, export demand for soybeans remains strong which was supportive.
SOYOIL futures were lower on Tuesday, with losses in crude oil behind some of the weakness.
SOYMEAL futures posted losses on Tuesday, tracking weakness in soybeans.
CORN futures in Chicago were nine to 11 cents per bushel lower on Tuesday, feeling pressure from the slump in crude oil prices.
The latest crop progress report by the USDA confirmed the US harvest is over.
Weather conditions remain good for the Brazilian crop, which is expected to provide a boost to that country’s exports in the coming months.
Technical selling was also a feature of the day’s activity.
WHEAT futures in Chicago ended five to eight cents per bushel weaker on Friday.
Strength in the US dollar dragged down wheat futures.
According to the latest report from the USDA, winter wheat has emerged at 92%. That is up from last week’s rating of 89%.
However, Russian wheat export prices have risen for 10 straight weeks, which was supportive for US wheat.
