Domestic Canola Usage Revised Down, but Still Up on Year

Jan 17, 2020

Domestic canola demand remained well ahead of exports in the latest Canadian Grain Commission report for the week ended Jan. 12, but revisions to data show that the crush pace is not quite as active as reported earlier in the month.

The original data for the week ended Jan. 5 showed domestic canola disappearance of 4.8 million tonnes for the 2019/20 crop-year-to-date, up about 1 million tonnes above the year-ago level and above the 3.7 million tonnes of canola exported during the same timeframe.

As processing usually makes up the majority of the ‘domestic disappearance’ line, industry participants questioned whether or not the crush pace was really that far ahead on the year. The CGC later confirmed that reporting errors skewed the data, and provided revisions in the report released Jan. 16.

With the revisions, total domestic disappearance as of week 23 of the crop year now comes in at 4.7 million tonnes, still 700,000 tonnes ahead of the previous year’s pace.

Click here to see more...

Video: Did Bears Win Thanksgiving, Will Bulls Get Christmas?

Did the bears win Thanksgiving (although this week had green on the screen), and will the bulls get Christmas? Bears won thanksgiving thanks to a USDA Nov crop report dud that stalled the bullish grain momentum for a brief period. But a bullish lower yield surprise in the Dec crop report could reignite the rally.
2026 U.S. winter wheat planting is nearly complete at 97% while crop conditions improved by 3 points to 48% good-to-excellent. US corn & soybean harvest is complete.
High corn demand, which is off the chart, and more Chinese soybean demand could support a Christmas rally.
Nasdaq had it’s worst November since 2011.
A U.S. Fed rate cut in December will help fund flow and sentiment.
Bitcoin held a long-term support at 80,000 and that's positive for fund flow and sentiment. It should help stock prices and Ag as we go into December.
Fertilizer prices continue to climb as we look ahead to 2026. Farmers may rely more on the nutrients that they already have in their soils.
South American Weather remains critical as the soybean reproductive stage starts from late Nov to late Feb depending on planting date.
Will a Russia-Ukraine peace deal happen by year-end?
CFTC data as of showed more managed money fund sell-off as of October 14th.