By Marlo Glass, MarketsFarm
WINNIPEG, Nov. 23 (MarketsFarm) – Intercontinental Exchange (ICE) Futures canola contracts closed higher on Monday, hitting new multi-year highs.
Canola’s gains have lagged behind movement in Chicago soyoil. Chicago soyoil was slightly lower on the day, with nearby contracts losing about a tenth of a cent.
Slight losses in the Canadian dollar were also supportive of canola prices, as the loonie was around 76.4 U.S cents after hitting two-year highs yesterday.
On Monday, 24,278 contracts were traded, which compares with Friday when 29,363 contracts changed hands. Spreading accounted for 16,266 contracts traded.
SOYBEAN futures at the Chicago Board of Trade (CBOT) were stronger on Monday, hitting four-year highs.
Market activity is expected to be subdued ahead of the Thanksgiving holiday later this week.
Soybean futures have been fuelled by concerns of dry weather in key growing regions of South America, along with strong export demand. Some scattered showers are expected this week in both Brazil and Argentina, but amounts are forecast to be light.
CORN futures were also stronger today.
On Friday, the USDA’s Cattle On Feed report showed the number of cattle on feed was up 1.3 per cent from a year ago, which is the highest for November 1st on record. Rising cattle inventories have been seen as a positive for corn futures.
WHEAT futures were mostly higher on Monday, with slight losses observed in Minneapolis spring wheat.
As of November 15, 85 per cent of planted winter wheat acres had emerged. Emergence rates for the week rose by six per cent from the previous reporting period, as well as one per cent ahead of the five-year average.
The U.S. winter wheat crop was rated 46 per cent good to excellent, which was a percentage point higher than the previous week. Cooler temperatures and precipitation in key growing regions have aided crop conditions and development.
Futures Prices as of November 23, 2020
Prices are in Canadian dollars per metric ton