WINNIPEG, Manitoba--While the start of the week saw canola futures on the Intercontinental Exchange trade in a very narrow range, broker Jamie Wilton of RJ O'Brien said that could soon change.

Canola will take direction from the monthly supply and demand report from the U.S. Agriculture Department, due Thursday at 11 a.m. CDT, he said.

As to which direction canola would take, Wilton said Wednesday "it depends on what [the report] says.

"Until then we are pretty much stalled out here."

The April report is largely expected to stand pat, as the USDA will use acreage estimates from earlier this year. The latest forecasts for planted acres are set to be included in the May WASDE.

However, the trade predicted changes to U.S. soybean ending stocks for 2023-24 as well as production numbers for Brazil and Argentina.

CHS Hedging reported the average trade guess for the U.S. soybean carryover is to rise two million bushels at 317.0 million. Also, Brazilian output is to pull back from the 155.0 million metric tons the USDA estimated in March to 151.7 million, while that for Argentina is to bump up from 50.0 million tons to 50.5 million. Additionally, global soybean ending stocks are to ease 560,000 tons at 113.7 million.

At this time the Prairie weather isn't a factor, according to Wilton, but will change once canola planting across the region is well under way.

Despite less-than-average snowfall on the Prairies this winter, more recent precipitation and the forecast for rain during the week of April 15 would improve soil moisture levels.

Source: MarketsFarm,

(END) Dow Jones Newswires

04-10-24 1645ET