Paris rapeseed futures were sharply lower in overnight trade. The nearby Feb 23 contract shed E17.75 per tonne (AUD$27.61). A slight decline in the value of the AUD might help, the AUD reduction resulting in a day-to-day conversion decline of just over AUD$22 per tonne. US soybean futures at Chicago and ICE canola futures at Winnipeg were also lower, not as sharply lower as the MATIF rapeseed contract but unlikely to assist global oilseed values today. We would need to see a dramatic improvement in local basis to prevent a sizeable decline in cash prices here today.

In the USA wheat, corn and soybean futures were all lower. Interesting to note that HRW futures at Chicago slipped 14.25c/bu (AUD$7.54) but HRW values indicated for cash sales to international customers out of the Pacific Northwest were unchanged. Wheat futures appear to be focusing on the rain predicted for the US plains this Sunday / Monday. World Ag Weather shows a good chance of 20-30mm across a large swath of Oklahoma and southern Kansas, two regions that have missed a lot of rain over the last 12 months. It will take good follow up rain to improve the current outlook in the southern HRW belt and turn current crop condition rating around.

Paris milling wheat futures improved E2.00 per tonne on the nearby, the strength carried through to outer months as well. London feed wheat was up half a pound and Paris corn also closed a little higher, the June contract up E1.75/t.
Thailand was said to have booked 117kt of feed wheat against their 135kt tender. Russian wheat values were said to have declined from roughly US$311 to US$305 per tonne. Tunisia is tendering for 125kt of durum for March / April delivery. We should see some feedback on this tender before Saturday.