By Phil Franz-Warkentin and Dave Sims, Commodity News Service Canada
Winnipeg, May 9 (CNS Canada) – ICE Futures Canada canola contracts were stronger on Tuesday, as gains in soybeans at the Chicago Board of Trade provided spillover support.
Relatively favourable weather conditions across most of Western Canada had a mixed impact on the futures. With many farmers busy on their fields, the lack of producer selling was supportive, according to a trader.
However, the better weather also helped ease some of the new crop production concerns that had propped up the futures recently.
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While the forecasts remain warm and dry in the eastern Prairies over the next week, calls for rain in Alberta may cause further seeding delays.
About 11,955 canola contracts traded on Tuesday, which compares with Monday when 11,903 contracts changed hands. Spreading accounted for 4,000 of the contracts traded.
Milling wheat, durum, and barley were all untraded, although prices were revised after the close.
SOYBEAN futures at the Chicago Board of Trade finished six to nine cents per bushel higher on speculative buying.
About 14 percent of the US crop is planted, which is slightly behind the 5-year average of 17 percent.
Traders were positioning themselves ahead of the release of the USDA’s supply and demand report. That is scheduled to come out at 11:00 tomorrow morning.
Farmers in the Midwest are slowly starting to roll out onto the field again after rain over the weekend.
SOYOIL futures finished lower on Tuesday.
SOYMEAL futures were stronger on Tuesday.
CORN futures in Chicago finished slightly higher as ideas persist that US farmers may start to swap out corn acres in favour of soybeans.
Positioning ahead of the USDA report was a feature of the session.
The US corn crop is roughly 47 per cent planted, which was behind the five-year average by five points.
WHEAT futures in Chicago finished six to eight cents weaker as traders took profits before the close.
According to the USDA, fifty percent of the US wheat crop has headed, which is ahead of the five-year average of 46 percent.
Pre-report guesses peg world ending stocks at 252.16 million tonnes.
