The Good: Durum exports from Canada were significantly behind last year, but 183,500 tonnes of durum were shipped last week (week ending on November 1st). This pushed total durum exports to 1.097 million tonnes, which is 87,400 tonnes behind last year. The durum exports included shipments from Vancouver, Churchill, Thunder Bay and the St Lawrence river ports. Churchill has shipped three durum vessels this year totalling 95,700 tonnes. Durum shipments are likely to remain strong in the coming weeks as 361,000 tonnes are already in port terminals ready for for export. Durum demand remains very strong from the Mediterranean basin.
The Bad: Canola moved down today as the market reclaimed all of yesterday’s gains. Profit taking was blamed for the market move, but Managed money funds shortened their position by 3,320 contracts during the week ending on November 3rd. The funds remain net long 55,156 contracts, which equates to 1.1 million tonnes. The fundamentals are still bullish for both oilseeds and vegetable oils. Another overnight sale of 30,000 tonnes of soybean oil were reported today, which was purchased by South Korea.
The Ugly: Lost in the backdrop of the U.S. election is the increases in the COVID-19 cases south of the border. New cases jumped by over 120,000 on Thursday and both deaths and hospitalizations are on the rise. This will be the main concern for the economy in the coming weeks and months.