WINNIPEG – The ICE Futures canola market settled with double-digit gains on Monday, but finished off session-highs.
Strength in crude oil helped support canola as speculation grew over a potential curb in output from OPEC+. Rising crude oil prices spilled over into vegetable oils, where Chicago soyoil, European rapeseed and Malaysian palm oil also made gains.
While canola crush margins are returning to normal levels, they are still much higher from typical levels.
However, the Canadian dollar was stronger on Monday, trading at more than three-tenths of a United States cent higher to put pressure on canola prices.
Read Also
North American Grain and Oilseed Review: Canola falls back
Trade, dollar weigh on U.S. values By Glen Hallick, MarketsFarm Glacier FarmMedia MarketsFarm – Intercontinental Exchange canola futures closed lower…
Weather conditions look favourable with high temperatures ranging from the teens to low-20 degrees Celsius earlier in the week before cooling off with sun and cloud throughout.
About 47,045 canola contracts were traded on Monday, which compares with Thursday when 49,576 contracts changed hands. The ICE canola market was closed on Friday for The National Day For Truth And Reconciliation. Spreading accounted for 32,872 of the contracts traded.
SOYBEAN futures at the Chicago Board of Trade (CBOT) were higher to start the week after taking a tumble on Friday after the United States Department of Agriculture (USDA) released its Quarterly Grains Report on Sept. 30. Crude oil was up by more than 3.5 cents, while Chicago soyoil, European rapeseed and Malaysian palm oil were also higher, which all provided support to soybeans.
U.S. soybean stocks were 274 million bushels, 32 million higher than pre-report estimates. Meanwhile, 575,220 tonnes of soybeans were shipped during the week ended Sept. 29, nearly double from the previous week but down 274,000 tonnes from last year. The USDA announced a private export sale of 110,000 tonnes to an unknown destination this morning.
CORN was also higher, but only within a small range.
U.S. corn export inspections were also higher than the previous week, totalling 661,658 tonnes. While it is more than 110,000 tonnes than the previous week, it is down nearly 280,000 tonnes from this point last year.
WHEAT prices took a downwards turn on Monday with the December Chicago wheat contract taking the biggest loss.
Wheat exports were reported at 667,577 tonnes on Sept. 29 by the USDA, up 78,000 from the previous week and up 51,000 from last year. The Philippines and China were the top two destinations.
Ukraine’s trade ministry announced that 1.75 million tonnes of wheat were shipped in September, down 23.6 per cent from last year.
