Chicago soybeans were firmer overnight. The Jan22 slot rallying 31c/bu (AUD$15.22/t). Unfortunately the rally was not reflected in either the Paris rapeseed contract or ICE Canadian canola. Both Paris and Winnipeg saw some downside. The fall appears to be technical, profit taking. From a fundamental perspective prices have probably factored in enough of a weather premium for now. Granted the Canadian and northern plains in the US continue to look dry into the next week or more but for now the trade appear happy with the price premium and were keen to take a little profit.
The cash canola market in SE Saskatchewan followed the futures market lower almost dollar for dollar. Durum values there were flat while spring wheat was up C$5.39/t for a Dec21 lift. Should also note that both barley and feed wheat bids across the Prairies were also higher. Feed barley values giving 1CWRS13.5 wheat a run for its money.
Spring wheat futures at Minneapolis were higher while the MGEX cash market was back under 1000c/bu at 996.75c/bu. Back at Chicago both soft and hard red winter wheat contracts were firmer. The continued wet weather across the SRWW regions is starting to create a few issues in regards to quality. With the US 7 day forecast showing continued wet weather in that region we may see soft red winter wheat futures improve as disease and lower test weight becomes more prolific in the later harvested wheat.
US wheat futures also found a little fuel from reducing estimates for the Russian wheat crop. Rain will leave the Volga Valley and Rostov regions over the next week, allowing harvest pace to pick up but rain will persist across CW Russia, W.Ukraine, Poland and S.Germany.