Canola futures on the Intercontinental Exchange (ICE) finished weaker on Wednesday, largely due to steep declines in United States wheat and corn.
Losses in Chicago soymeal and European rapeseed contributed to the pressure. However, there were gains in Chicago soybeans and soyoil, as well as Malaysian palm oil that tempered further pull backs. Small gains in global crude oil prices were somewhat supportive of vegetable oils.
Manitoba reported 40 per cent of intended acres planted have been planted so far this spring. While that’s up sharply from last week’s 10 per cent complete, it’s still well behind the five-year average of 93 per cent finished.
The Canadian dollar was a pinch higher at mid-afternoon, with the loonie nudging up to 79.18 U.S. cents, compared to Tuesday’s close of 79.06.
There were 20,454 contracts traded on Wednesday, which compares with Tuesday when 16,313 contracts changed hands. Spreading accounted for 9,818 contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Price Change
Canola Jul 1,153.30 dn 31.00
Nov 1,054.80 dn 18.70
Jan 1,058.10 dn 19.70
Mar 1,058.10 dn 17.80
SOYBEAN futures at the Chicago Board of Trade (CBOT) were higher Wednesday, on spillover from increases in global crude oil prices.
The United States Department of Agriculture (USDA) said that 66 per cent of soybeans were planted as of May 29. That’s an improvement of 16 points gain on the week, putting soybeans almost on par with the five-year average 67 per cent finished.
Ahead of the USDA monthly crush report, the trade predicted an April crush of 180.5 million bushels, which would a 6.4 per cent increase compared to April 2021. Soyoil stocks are expected to be 2.32 billion pounds.
The department announced a private sale of 132,000 tonnes of soybeans to China, split evenly between old and new crop.
ANEC reported Brazil soybean export for May came to 10.73 million tonnes, almost five per cent behind those a year ago. Soymeal exports for the month dipped to 1.85 million tonnes.
The soybean harvest in Argentine was said to be 90 per cent done.
WHEAT futures plummeted on Wednesday, as Russian President Vladimir Putin said he would allow grain exports out of Ukrainian ports.
The USDA said that spring wheat planted reached 73 per cent in the ground, a gain of 24 points on the week. The five-year average is 92 per cent done. U.S. winter wheat rated 29 per cent good to excellent, up one point from the previous week.
The European Union reported that 2021/22 wheat exports were 24.6 million tonnes as of May 29, only 100,000 tonnes behind outbound shipments this time last year.
CORN futures were weaker on Wednesday, following wheat to the downside.
U.S. corn planted increased 14 points at 86 per cent complete, sitting one point behind the five-year average.
The trade pegged corn for ethanol at 427.4 million bushels for April. That would be an increase of nearly five per cent from the previous May.
ANEC reported Brazil corn export for May of 1.09 million tonnes, down approximately 14 per cent from May 2021.
The corn harvest in northern Brazil was reported to be just getting underway. The USDA projected a harvest of 116 million tonnes. Despite the big harvest coming, a report said Brazil is importing upwards to 2.5 million tonnes of corn from Paraguay.
