The Good: Yesterday, the wheat markets managed to hold through significant selling pressure and eke out a gain. Today it was canola’s turn as the November contract managed to claw back above the C$500 per tonne mark to settle at C$501.20 per tonne. The session low was all the way down at C$493.40 per tonne. The wobble in the market over the past two days is a sign that we may be seeing some topping action in the canola market as harvest begins to gain momentum.
The Bad: The corn market had an inside trading day with futures closing slightly higher at US$3.58 per bushel. Another overnight sale of 596,000 tonnes of corn to China was not enough to propel the market higher. Corn appears to be losing momentum as we move above the US$3.50 per bushel level and harvest pressure will begin later this month.
The Ugly: Another week, another two named storms roaming through the southern Atlantic and Caribbean Sea. The U.S. is going to be spared damage this week, but that can’t be said for Belize and Guatemala. Tropical Storm Nana is expected to become a hurricane by Thursday morning when it slams into the Belize. This should remind everyone that we are just entering the height of hurricane season. By the way, the next two potential disturbances are moving into the eastern Atlantic nursery for tropical storms. We are already at a record breaking (for this time of year) 15 named storms in the current season.