WINNIPEG — The ICE Futures canola market moved upwards on Wednesday after Statistics Canada (StatCan) released its first survey-based seeding intentions report for 2023-24. Only the nearby May contract moved lower as traders exited the front month ahead of its expiry.
StatCan estimated that 21.6 million acres will be used to grow canola, at the lower end of trade expectations. However, the survey was conducted last December and January as a new practice by the central data agency.
Chicago soyoil and European rapeseed were up, but Malaysian palm oil was down. Crude oil gave up nearly US$2 per barrel due to weakened demand.
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At mid-afternoon, the Canadian dollar was down less than one-tenth of a U.S. cent compared to Tuesday’s close.
About 33,728 canola contracts were traded on Wednesday, which compares with Tuesday when 27,144 contracts changed hands. Spreading accounted for 24,846 of the contracts traded.
CORN declined for the sixth straight day on the Chicago Board of Trade (CBOT) with the July contract still barely above the US$6 per bushel mark.
In its first survey-based seeding intentions report for 2023-24 released today, StatCan estimated corn acres to total 3.724 million, an increase of 100,000 from last year.
The U.S. Energy Information Administration (EIA) reported that 967,000 barrels of ethanol per day were produced for the week ended April 21. Ethanol stocks declined by 987,000 barrels to a 14-week low of 24.306 million.
Crop consultant Dr. Michael Cordonnier said he expects U.S. farmers to plant 91.5 million acres of corn to produce 15.03 billion bushels.
The U.S. Department of Agriculture’s (USDA) attaché in Buenos Aires estimated a record 54 million tonnes of corn to be grown in Argentina for 2023-24.
SOYBEANS continued their slide, but not to the extent of the previous five days.
StatCan anticipated Canadian soybean area to total 5.511 million acres this spring, a 300,000 acre increase.
Cordonnier estimated 88 million acres to be grown in the U.S., which would produce a crop of 4.53 billion bushels.
The USDA’s ag attache in Brazil projected the country’s soybean output for 2023-24 at a record 159 million tonnes, 6.5 million more than this year’s bumper crop.
ANEC projected Brazil’s soybean exports to total 14.7 million tonnes in April, below its previous estimate of 15.15 million.
Rains in U.S. WHEAT-growing areas helped push prices down anywhere between 11 and 23.5 cents per bushel.
StatCan’s projected acreage for all wheat was at 26.98 million, at the higher end of trade estimates. The figure represents a 1.58 million acre increase from last year. Meanwhile, spring wheat acres are expected to total 19.39 million acres, the largest total since 2001.
Despite United Nations Secretary-General Antonio Guterres having sent a list of proposals, Russian foreign minister Sergey Lavrov repeated that the country will not extend the Black Sea Grain Initiative beyond May 18.
Hungary stated it wants to prolong an import ban on Ukrainian grain to the end of 2023.
