US soybeans were able to make gains on Wednesday. The July contract gained 9.25 US cents and closed at 1,123.00 US cents/bushel. The November futures contract also rose and was quoted at 1,138.50 US cents/bushel, up 6.50 US cents. Coarse meal rose by 0.80 US cents to 301.90 US cents/bushel. Support came mainly from friendly sentiment in the oilseed sector as the market focuses on Thursday's USDA reports.
Ahead of the WASDE, traders largely expect US ending stocks to remain stable. Old crop stocks are expected to be 339 million bushels, down from 340 million bushels in May. Market expectations for the new crop are also unchanged at 310 million bushels. In terms of export sales, analysts expect 150,000 to 400,000 tons of soybeans from the 2025/26 harvest for the week up to June 4. At the same time, attention is turning to the new Brazilian production estimates from the state agricultural authority CONAB. Market participants expect an average harvest of 180.3 million tons for Brazil, while Argentina is expected to produce 48.5 million tons.
Strong support came from the canola market. On the ICE in Canada, the July contract rose by Can-$ 6.30 to Can-$ 766.40 per tonne. This was triggered by heavy flooding in parts of Manitoba and Saskatchewan. Locally, up to 250 mm of rain fell, causing traders to fear irreversible damage to several fields. The rapeseed market in Europe was also firmer. The August contract on Euronext in Paris gained €7.25 to €528.00 per tonne.
