WINNIPEG -– Canola futures on the Intercontinental Exchange ended the session lower on Wednesday, following the lead of Chicago soyoil instead of other comparable oils.
While the soyoil was lower, European rapeseed and Malaysian palm oil were higher. Crude oil also made gains despite the war in Ukraine and 50 per cent tariffs implemented by the United States on Indian imports effective today.
Statistics Canada will release its satellite/model-based crop production report on Thursday. Last week, Agriculture and Agri-Food Canada raised its own 2025-26 canola production estimate by 2.3 million tonnes at 20.1 million.
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An analyst said canola prices continued a downward trend, testing values in the vicinity of C$640 per tonne in the absence of bullish factors. He predicted StatCan’s production estimate to be 20.2 million tonnes, but thinks the actual number is around 20.8 million.
Much of the Prairies will see temperatures around 30 degrees Celsius throughout the week. While southern Manitoba could see rain and thunderstorms tonight, the rest of the Prairies will be dry.
At mid-afternoon, the Canadian dollar was up more than two-tenths of a U.S. cent compared to Tuesday’s close.
There were 28,219 canola contracts traded on Wednesday, compared to Tuesday when 40,659 contracts changed hands. Spreading accounted for 13,082 of the contracts traded.
Minneapolis spring WHEAT prices lost more than 13 United States cents per bushel on Wednesday as warmer weather, good quality and harvest progress pressured prices. Chicago soft and Kansas City hard red also saw their prices drop.
Ahead of the U.S. Department of Agriculture’s weekly export sales report tomorrow, the trade estimated between 400,000 to 700,000 tonnes of wheat sold during the week ended Aug. 21.
Rain is in the near-term forecast for hard red winter wheat growing areas of the U.S. prior to planting. However, soft red winter wheat growing areas are looking dry over the next few days.
A Ukrainian farmers’ union estimated the country’s wheat crop at 21.8 million tonnes, down from 22.7 million last year and down from the USDA’s estimate of 22 million last month.
The November SOYBEAN contract finished the day lower for the second time in three sessions while still trading rangebound.
Rain is expected for the Delta region in the near-term forecast, but the U.S. Corn Belt should remain mostly dry.
The USDA’s weekly export sales report is expected to show new crop soybean sales between 450,000 and one million tonnes. Soymeal sales would be between 125,000 and 450,000 tonnes, while soyoil sales would be up to 14,000 tonnes.
AgResource estimated Brazil’s 2025-26 soybean crop at a record 176.5 million tonnes, surpassing the USDA’s projection of 175 million tonnes. It also predicted Brazil’s planted soybean area will expand two per cent at 120.3 million acres.
The December CORN contract showed a small loss on Wednesday, but it was its second consecutive negative session, the first occurrence in three weeks.
The trade estimated U.S. new crop corn export sales last week to range between 1.2 million to 2.6 million tonnes.
The Energy Information Administration reported ethanol production for the week ended Aug. 22 averaged 1.07 million barrels per day, down 200,000 from the week before. Ethanol stocks contracted by 139,000 barrels at 22.549 million.
Taiwan purchased a total of 65,000 tonnes of corn from the U.S. in their tender overnight.
