By Glen Hallick, MarketsFarm
Glacier Farm Media MarketsFarm – Intercontinental Exchange canola futures were weaker on Thursday, as they fell back with losses in comparable oils.
Pressure on canola came from steep declines in Chicago soyoil, along with more modest losses in soybeans and European rapeseed. Some support came from gains in soymeal. Lower global crude oil prices also weighed on oilseed values.
With the Malaysian palm oil market being closed for a holiday, an analyst said that added to losses in canola.
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The United States Department of Agriculture issued its world oilseed production report, with its 2023/24 production estimate for Canadian canola held at 18.8 million tonnes.
The Canadian dollar was slightly lower at mid-afternoon Wednesday as the loonie slipped to 73.08 U.S. cents compared to Wednesday’s close of 73.15.
There were 70,115 contracts traded on Thursday, compared to Wednesday when 56,952 contracts changed hands. Spreading accounted for 50,204 contracts traded.
Prices are in Canadian dollars per metric tonne:
Price Change Canola May 624.30 dn 14.50 Jul 635.70 dn 13.40 Nov 645.30 dn 13.40 Jan 651.90 dn 13.40
SOYBEAN futures at the Chicago Board of Trade were lower on Thursday in the face of higher ending stocks and large South American production.
The United States Department of Agriculture issued its April supply and demand estimates and 2023/24 soybean ending stocks were raised 25 million bushels from the March report to 340 million.
The USDA kept its calls on soybean production in Brazil and Argentina at 155 million and 50 million tonnes respectively.
The department released its export sales report and for the week ended Apr. 4 soybean sales were 305,300 tonnes of old crop and no new crop sales or cancellations. Soymeal sales came to 187,900 tonnes of old crop and 53,400 tonnes of new crop. Soyoil sales tallied 4,300 tonnes.
Conab trimmed its forecast on Brazil soybean production to 146.52 million tonnes from its March estimate 146.86 million.
CORN futures were lower on Thursday, caught up in the downturn in the grain market.
The USDA reduced the U.S. corn carryover 50 million bushels at 2.12 billion.
The department held corn production in Brazil at 124 million tonnes but trimmed that for Argentina by one million to 55 million tonnes.
U.S. old crop corn export sales fell to a marketing year low of 325,500 tonnes along with 9,500 tonnes of new crop.
Conab lowered its estimate on Brazil corn output to 110.96 million tonnes from its March call of 112.75 million.
The Rosario Grain Exchange cut 6.5 million tonnes from its call on Argentina corn production to 50.5 million due to spiroplasma disease.
A report stated that China may have cancelled approximately 300,000 tonnes of corn purchases from Ukraine due to falling prices.
WHEAT futures were lower on Thursday, due to profit-taking.
The carryout for U.S. wheat was increased 25 million bushels to 698 million.
U.S. wheat export sales were comprised of 80,700 tonnes of old crop and 274,400 tonnes of new crop.
Based on favourable growing conditions, Strategie Grains nudged up its call on European Union wheat output in 2024/25 by 200,000 tonnes to now 121.8 million.
Ukraine reported its wheat exports since July 1 reached 14.5 million tonnes.
