The price of canola has not yet responded to the balance of the USDA soybean

2019-07-02 12:15:19
The price of canola has not yet responded to the balance of the USDA soybean

the price of canola has not yet responded to the decline in forecast of world soybean production in the new season, while soybean futures in Chicago following the markets for maize and wheat fell by 2% to 334,5 $/t. Traders do not hope for a revitalization of trade with China, announced by the presidents of the United States and China after a meeting on Saturday. Before the summit China had acquired 544 thousand tons of soybeans, but the data on new purchases no.

 

the Export of soybeans from the U.S. last week rose only 1.7% to 719,3 thousand tons (of which 396,7 thousand tons were sent to China), 15.4% lower than in the previous year.

 

According to the NASS USDA on June 30 soybean in the United States planted 92% of the area compared to 99% on average for 5 years. Shoots were obtained on 83% of the area compared with 95% in average, good or excellent condition are 54% germination.

 

Experts expect that the rise in soybean prices will support the markets of rapeseed and canola production forecasts which are gradually reduced.

 

Analysts Strategie Grains through the arid conditions in most countries of the European Union left the forecast harvest of rapeseed in the EU in 2019/20 Mr at their lowest for the last 10 years, the level of 17.8 million tons, which is 11% lower than in the previous season. Now canola crops are nearing maturity, so the impact of heat on them might not be too strong.

 

the Valuation of imports of rapeseed in the EU increased compared to the previous forecast of 5.4 to a record 5.8 million tons, which is 38% higher than the figure recorded 2018/19 Mr – 4.2 million tons.

 

the August rapeseed futures on Euronext yesterday fell to 0.5 €/t to 363,75 €/t, and due to the depreciation of the Euro to 1,1294 $/€ dollar price fell to 410,4 $/t

 

According to estimates by Statistics Canada, as a result of the conflict with China acreage Canalou in 2019/20 MG can be reduced to 19.8-21,35 million acres, compared with 22.8 million acres in 2018/19 Mr.

 

Canola in Chicago traded at 453,5 CAD/t or 345,6 $/t

 

In Ukraine, prices for canola, after rising last week, fell yesterday in port up to $400/t or 12400-12500 UAH/t to Support prices may increase demand from EU and China, which Ukrainian rapeseed can replace the canadian canola. The simplification of the quarantine regulations of export from Ukraine to China will further support the price of domestic barley, which due to the increased demand from the PRC has increased by 5-7 USD/t

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