North American Grain and Oilseed Review: Canola still to the downside
U.S. soybeans, corn lower, wheat turns around
By Glen Hallick, MarketsFarm
Glacier Farm Media MarketsFarm – Intercontinental Exchange canola futures remained lower on Friday but came away from larger declines. Pressure on canola continued to come from China’s tariffs on its imports of the oilseed’s meal and oil.
Losses in Chicago soybeans and soyoil, plus in Malaysian palm oil kept canola to the downside. However, upticks in European rapeseed and Chicago soymeal stemmed further declines. Small increases in crude lent a little bit of support to the vegetable oils.
An analyst said the oilseed and grain markets are likely to remain “in limbo” until the United States Department of Agriculture issues its projected plantings report on March 31 and when the Trump administration takes whatever trade action come April 2.
The analyst commented that canola is a great deal cheaper than European rapeseed and that should push canola exports to the European Union to one million tonnes or more.
The Canadian Grain Commission reported cumulative canola exports reached 6.52 million tonnes and domestic use rose to 7.26 million.
The Canadian dollar was unchanged on Friday afternoon with the loonie at 69.70 U.S. cents.
There were 50,335 contracts traded on Friday, compared to 55,663 on Thursday. Spreading accounted for 19,472 contracts traded.
Prices are in Canadian dollars per metric tonne:
Price Change Canola May 571.70 dn 1.00 Jul 581.80 dn 2.40 Nov 586.60 dn 2.20 Jan 593.40 dn 2.30
SOYBEAN futures at the Chicago Board of Trade were lower on Friday but remained rangebound.
The United States Department of Agriculture is scheduled to publish its projected plantings report on March 31. Expectations are for reduced U.S. soybean acres with an increase in corn.
The Buenos Aires Grain Exchange cut one million tonnes from its call on Argentina’s soybean crop, now at 48.60 million. The BAGE rated the crop at 29 per cent excellent, up five points on the week.
CORN futures pulled back on Friday, correcting after yesterday’s gains on good exports.
A report said U.S. corn is being transported across the river system from one side of the Corn Belt to the other. It’s believed there could indicate a surprise in the USDA’s next grain stocks report.
The BAGE placed the Argentine corn harvest at 14 per cent finished.
The Brazilian finance minister said he expects lengthy tariff negotiations with the U.S. over its sugarcane-based ethanol
The USDA attaché in Riyadh forecast Saudi Arabia’s corn imports to increase 500,000 tonnes at 4.50 million.
WHEAT futures were slightly higher on Friday, turning around after yesterday’s declines.
Some rain is forecast to fall over parts of the U.S. Southern Plains, with south central Texas to receive the most. There’s to be dryness from Texas Panhandle to western Kansas.
The CME group announced plans to start a Black Sea wheat futures market to track Romanian and Bulgarian prices. Recently, CME said it’s starting futures contracts for European rapeseed oil and U.S. spring wheat.
Russia launched a large drone attack on the Ukrainian port city of Odessa, just days ahead of planned talks between the U.S., Russia and Ukraine for a new Black Sea Initiative.
France kept its soft wheat at 74 per cent good to excellent.
The USDA’s Riyadh desk projected Saudi Arabia’s 2025/26 wheat crop to increase 20 per cent at 1.50 million tonnes, with imports dropping 10.3 per cent at 3.20 million tonnes.
