Generally the US grains market was lower overnight after some big gains on Tuesday. Soybeans bolstered the market on Tuesday and soybeans lead the market lower last night.
Not all of Tuesday’s soybean rally was given back, it’s a pity the same couldn’t be said for canola though which was up C$15.80 on Tuesday and back C$15.10 on Wednesday. The fundamental situation for canola still warrants a strong market going forward so most punters remain confident that canola, in the midterm, will remain firm.

For corn and wheat at Chicago additional pressure came from grower hedging after Tuesday’s gains. A lot of producers in the US had been waiting for an opportunity to price some new crop after weeks of poor prices and it is assumed grower and merchant volume on the sell side was high last night. With the big move in soybeans on Tuesday and rain delaying corn planting in some parts of the US we may see corn acres begin to shrink in favour of soybeans.

Weekend rainfall across much of the FSU will continue to see the Black Sea crop in good shape. Spring wheat planting progress is acceptable in the far east of the region and weather poses no threat there at this stage.