International futures markets were a sea of red last night. US corn, wheat and soybeans all closing lower. Paris milling wheat was up just €0.25/t in the Dec slot but was flat to lower across the outer months and new crop.
Rapeseed futures were hit hard, shedding €6.00 in the Feb 25 slot. Not to be outdone by Paris, Winnipeg canola futures also joined rapeseed on the slippery slope, shedding C$15.20/t on the Jan25 contract. Weakness in Winnipeg canola was said to be coming from outside markets like crude oil. West Texas crude slipped US$4.00 a barrel after Israel said they would only target Iranian military sites not oil production facilities. Time will tell.

With US corn harvest is progressing very well, 81% complete vs the 64% 5 yr avg, this weeks rain should have little impact. Soybeans are in a similar picture, 89% harvested vs the 5 yr avg of 78%, so a few days of delays shouldn’t be an issue. This weeks rain in the US will be heaviest across much of the US hard red winter wheat belt. HRWW sowing is a little behind average, Kansas is OK at 87% complete, but both Oklahoma and Texas are lagging a little. With the forecast for as much as 100-150mm across Oklahoma this week, we may see some area reductions in the next USDA report for HRWW. The sowing window usually closes by late October or early November there.
For those of you punting some cotton you may be interested in reading the weekly condition rating for the US crop fell from 31/6 G/E last week to 29/4 GE this week. With a bunch of rain in the forecast it may have an impact, especially in Ok where picking is just 30% along, although Ok isn’t a big player.

Canadian durum offers FOB basis were mixed, Pacific Northwest values shed C$5.00 per tonne while FOB values out of St Lawrence, heading across the Atlantic, were up C$5.00 per tonne. Ex farm values across SE Saskatchewan saw little change. French values were firmer once converted to AUD.