Canadian Plantings to Sink Friday Trade?
Apr 21, 2017
Soybeans pointed higher going into the morning break while corn and wheat were hovering around the unchanged mark. However, the release of Canada’s plantings for 2017 was weighing on the market heading into the break.
USDA reported the sale of 146,000 MT of soybeans to unknown destinations for 2016/17
This morning Stats Canada released their acreage forecasts for wheat and canola. For wheat, they expected Canadian farmers to plant 23.18 million acres, nearly unchanged from 23.21 last year. For Canola they peg plantings at 22.4 million acres vs 20.4 last year. Both numbers were higher than analyst expectations going into the report.
Wheat was coming off its worst one-day loss this year, giving up 13 on Thursday’s trade. Favorable weather in the Plains continues to raise the prospect for higher wheat yields. On the export front, US export commitments of wheat have reached the annual projection of USDA. But, 5.4 MMT of those commitments have yet to be shipped with 7 weeks remaining in the marketing year. That means weekly shipments need to reach 770,000 MT a week but have only averaged 680,000 MT in the past two weeks.
In overnight deals, KFA feed group from South Korea bought 60,000 MT of optional-origin corn.