Winnipeg Commodity Exchange: Grain and Oilseed Futures Decline

Grain and oilseed futures at the Winnipeg Commodity Exchange (WCE) were trading at mainly lower levels at midsession on October 12, 2004, with declines in CBOT corn and soybean underlying much of the downward price action. Canola futures were also trading at lower levels, with new contract lows established. The losses in soybeans led to a sharp sell-off in CBOT values, and the subsequent disappearance of buy-orders for canola amplified the downward price momentum.

Key Takeaways:

Grain and oilseed futures at the WCE were trading at mainly lower levels at midsession on October 12, 2004, with declines in CBOT corn and soybean.
CBOT soybean production report was bearishly construed, leading to a sharp sell-off in CBOT values.
Canola futures were trading at lower levels, with new contract lows established.
Losses in soybeans resulted in the disappearance of buy-orders for canola, amplifying the downward price momentum.
Commission house sell-stop orders were triggered, contributing to the weakness in canola prices.
Agricore United was a featured seller, with much of the interest being hedge-related trade.
Scale-down commercial buying tempered the price slide.
Western barley and feed wheat futures were also lower, with the losses in CBOT corn futures encouraging the downward price action.
Commercials were the featured sellers in western barley.
Spreading of the Nov/Jan canola contracts and the Dec/Mar western barley contracts were features of the activity in those commodities.

Statistics:

Grain and oilseed futures were trading at mainly lower levels, with declines in CBOT corn and soybean.
CBOT soybean production report was released, leading to a sharp sell-off in CBOT values.
New contract lows were established in the canola futures market.
10:45 CT prices in Canadian dollars per metric ton were:

+ Dwayne Klassen, Resource News

Sources:

Resource News International via COMTEX, October 12, 2004
COMTEX, http://www.comtexnews.com