CNS Canada — The Canadian dollar has been steadily depreciating through 2015, sinking to an 11-year low relative to its U.S. counterpart as the end of the year creeps closer. Even if the loonie stays weak in 2016, however, two analysts expect the upside potential it brings to agricultural commodity markets has mostly run out. […] Read more
Loonie’s boost for commodity prices likely limited in 2016
ICE weekly outlook: Canola climbs despite harvest pressure
CNS Canada –– ICE Futures Canada canola contracts finished higher for the week ended Wednesday, posting gains of $9-$10 per tonne despite mounting harvest pressure and large world supplies of vegetable oil. The slumping Canadian dollar, which momentarily reached its lowest point in 11 years during the session, has been a big reason behind canola’s […] Read more
Look for improved basis this year
It’s a very different situation from two years ago — now grain companies are keen to ‘keep their pipelines moving’
Reading Time: 3 minutes A bad-news year for crop production is a good year when it comes to basis — and so farmers should be shopping around this harvest, say market analysts. “In general in years when supplies are tight locally or in a region, you would normally expect to see basis levels that are stronger than what you […] Read more
Lower loonie to boost U.S. demand for sunflowers
CNS Canada — Manitoba sunflowers are looking better than they have in recent years, despite minor pest pressure, in one agronomist’s view — and a lower Canadian dollar could be useful for producers looking to sell. Sunflower prices aren’t seeing a lot of movement right now, but demand is good — and with a lower […] Read more
Klassen: Various views on the feeder cattle market
If you talked to three Western Canadian cattle buyers this week, you probably would receive four different views on the market. Certain auction barns were reflecting an average week-over-week decline of $3 to $5 but feature strings of cattle were back up to historical high prices. Early sales in the season are like tryouts at a […] Read more
Canola and barley markets offer opportunities in a time of low crop prices
Fundamentals favourable for canola and barley but not other grains and oilseeds, says commodity strategist Moe Agostino
Reading Time: 2 minutes In a time of flat or falling prices, canola and barley offer a little ray of hope, according to Moe Agostino, chief commodity strategist with Farms.com Risk Management. Tight supply is positive for canola, but the key is strong demand fuelled by the plunge in the Canadian dollar, Agostino told a packed room at FarmTech. […] Read more
Don’t expect diesel, fertilizer, and chemicals to match oil’s steep decline
Experts say it’s a mixed bag when it comes to input costs
Reading Time: 4 minutes Falling oil prices are bad news for energy producers, but that should be good news for farmers and other big users of fuel and energy-intensive products. “We’re paying 30 or 40 cents a litre less for gas today than we were three or four months ago,” said Michael Burt, director of industrial economic trends with […] Read more
All crops not equal in face of weakening dollar
CNS Canada –– With the Canadian dollar falling to its weakest levels relative to its U.S. counterpart in six years, the general sentiment holds it should be good news for exporters, such as Canadian grain farmers. However, any net benefit may depend on what exactly is being exported and who is doing the buying, according […] Read more
ICE weekly outlook: Canola spikes as loonie falls
CNS Canada — ICE Futures Canada canola contracts finished higher for the week ended Wednesday, tracking the U.S. soy complex for much of the period but ultimately shooting higher due to the Canadian dollar’s sudden free-fall. The weaker currency helped improve domestic crush margins and also made canola more attractive to exporters pricing in U.S. […] Read more
Feed barley values seen ‘popping’ in January
CNS Canada –– Western Canadian feed barley prices remained firm to start the year, with bids having enjoyed a gradual rise from the $190 per tonne range in late November to the current level of $210 per tonne. “Bids have firmed up, not surprisingly it’s kind of popping in January,” said Allen Pirness, a trader […] Read more
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