Glacier FarmMedia — The ICE Futures canola market settled lower for the fifth session in a row on Wednesday, as an early attempt at correcting higher failed to gain traction.
A downturn in Chicago soyoil after early advances contributed to the bearish tone in canola. Welcome precipitation in the eastern Prairies and forecasts calling for moisture in other dry areas of Western Canada later this week also weighed on prices.
However, tight old crop supplies and solid end user demand underneath the market provided some support.
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ICE canola correcting higher at midday Wednesday
Glacier FarmMedia — The ICE Futures canola market was holding onto small gains at midday Wednesday, correcting off the two-month…
There were 46,074 contracts traded on Wednesday, which compares with Tuesday, when 49,582 contracts changed hands. Spreading accounted for 21,390 of the contracts traded.
SOYBEAN futures at the Chicago Board of Trade were weaker on Wednesday, as good Midwestern crop weather continued to weigh on prices.
U.S. President Donald Trump announced new tariffs on India because of India’s purchase of Russian oil. A resulting rally in crude oil had lent support to vegetable oil markets, including Chicago soyoil. However, crude oil turned lower as the day progressed and the vegetable oil markets also retreated.
CORN fell to fresh contract lows on Wednesday, as good U.S. crop weather and rising yield estimates were bearish. However, some support was uncovered to the downside and the most-active December contract held above the psychological US$4 per bushel mark at the close.
Brazil’s second crop is also already making its way into export channels, displacing some export interest for U.S. corn ahead of the North American harvest.
WHEAT futures hit fresh five-year lows on Wednesday, as large global supplies and seasonal harvest pressure weighed on prices. The declines in corn also accounted for some spillover selling pressure as the wheat market looked to remain competitive and uncover some demand.
However, oversold price sentiment provided support and many months managed to eke out small gains at the close.
To access the latest futures prices, go to https://www.producer.com/markets-futures-prices/
