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Canada Know-Risk Market Outlook | Federal Reserve Meeting Today

By: Craig Turner, Senior Risk Management Consultant

Banner Grains & Oilseeds
Canada Know-Risk Market Outlook 
 
Craig Turner
Office: 312-706-7610
Twitter: @Turners_Take
Network: LinkedIn
 
Canola down 3, soybeans down 8, corn down 3, HRS down 12, HRW down 14, SRW down 15.
GRAINS & OILSEEDS | Private exporters reported sales of 178,000 metric tons of corn for delivery to China during the 2022/2023 marketing year. Russian wheat is trading on the cash market between $275 to $280 per ton. The declining export prices are putting pressure on wheat futures.
Brazilian private analyst AgroConsult raised its Brazilian soybean crop forecast by 2 MMT to a record 155 MMT. The firm expects Brazil to export a record 96 MMT of soybeans in 2022-23.  AgroConsult cut its Brazilian corn crop estimate to 125.5 MMT
Yesterday’s CFTC Report from the week ending last Friday (data to March 14) showed managed money funds dumping a massive 75k net corn on the week.  Positions were shorter across the board in the soy complex as well, down 27k contracts.  Funds have liquidated nearly 300K grain and oilseed contracts since mid-February.
Finally, the Federal Reserve is expected to hold rates steady or increase by 25 basis points.  The two-day FOMC meeting concludes this afternoon, and the Fed will make an announcement after 1pm CT.  Traders and investors are anxious to see if the Fed will put on hold their war against inflation and focus solely on the banking crisis.  The Fed is in a tricky spot and will have to choose between fighting inflation or stabilizing the banking system. 
 
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