Growth in the U.S. economy and the export opportunities that come with it are expected to offset some of the impact of low oil prices on the Canadian economy. The coinciding weaker Canadian dollar won’t hurt exports either, notes the chief economist with the Conference Board of Canada. “This is a good time if you’re… Read More
Category: Energy Markets
Despite the tumble in wheat futures over the last month, there are still reasons for growers to be optimistic about where wheat prices are headed, according to the president of LeftField Commodity Research. Chuck Penner shares his take on what’s happening in the grain markets in this video filmed at FarmTech in Edmonton. “I’m friendliest… Read More
Grain markets ended the month of January well below where they started, despite volatile currencies, weather, and geo-political risk keeping prices off the lows. Managed money continue to drop their net long positions in the agricultural complex recently to its lowest levels since October, mainly thanks to the strength of the U.S. dollar. Investors in… Read More
Low oil prices should translate into reduced input prices for farmers, but don’t expect to see major declines in fertilizer prices before the 2015 growing season, according to a lending institution consultant speaking at St. Jean Farm Days in Manitoba this week. “I think in the long run we will see our cost of production… Read More
2014 started out with a lot of frustration: Grain was hardly moving through Canada as the Great White North experienced some record cold temperatures and record ice cover on the Great Lakes. With the railroads making more money moving oil, elevators couldn’t take deliveries and the amount of ships sitting at the port waiting for… Read More
Global markets were blindsided by Russia in the third week of December as Moscow raised its key interest rates to a shocking 17 per cent, up significantly from the 10.5 per cent level they had been just raised to a few days earlier. Why the rate increase? The ruble has been free-falling this year with… Read More
Rumours are building again that Russia may limit their grain exports (specifically wheat) and the government might start increasing the purchasing price from farmers for the government reserve stocks (the government is definitely worried about rising domestic food prices). This would incentivize producers to sell to the government versus grain merchants/exporters. SovEcon said earlier in… Read More
Grain prices closed the month of November generally higher as colder weather and transportation issues in the U.S. helped prices maintain an elevated level. While most Americans were putting the turkey in the oven, OPEC, the cartel of major oil-producing nations like Saudi Arabia, declined to ease their production from the current 30 million barrels-per-day…. Read More