27/6/22 Prices
The oilseed market bounced overnight, soybean, canola and rapeseed all clawing back some of the previous sessions losses. Crude oil also pushed a little higher, oilseeds is seeing spill over support and spill over weakness from outside markets.
Paris and Chicago wheat futures continued to slide, nothing more than some exceptional sales will prevent further losses as we push through the US, Russian & EU harvest and northern hemisphere stocks replenish.
Cash prices out of central Canada saw wheat back C$10.03 for a December lift, 1CWAD13 durum back C$6.21 for a November lift and canola off the prairies follow the futures market higher, gaining C$25.17 for a December lift ex farm.
France has confirmed the commencement of the soft wheat harvest, with 2% of the crop stripped by the start of the week. Recent hot weather forced the crop in a little earlier than normal. The quality of the soft wheat crop continues to fall, back another 1% to 64% G/E, still not a bad crop rating.
There were also reports of durum wheat in the south being harvested, producers suggesting around 5% of the crop was now in the bin. We should start to hear some quality reports and specs for their new crop. The way the season in the south shaped up one could assume quality should be good apart from possibly lower yields than average.
One of the major shocks to the price of rapeseed came from the political side of the equation yesterday. Germany has suggested suspending the biofuel mandate temporality to help reduce the cost of fuel and also bring more land back into food production. A move that will please as many as it doesn’t.