November canola is down $8.30 per metric ton (mt), Dec soybean oil is down 1.14 cents per pound, November European rapeseed is down 2.00 euros per mt and November Malaysian palm oil is down .63%. Dec oats are up 1/4 cent per bushel. October crude oil is down $.17 per barrel, October ULSD is down $.0369 per gallon, and the December Canadian dollar is down .00055 at .72980. The December U.S. Dollar Index is up .142 at 96.390 and the October Brazilian real is down .00025 at 0.18775.

Commodity markets across the board remain under pressure as some of Tuesday's gains are given back ahead of the FOMC interest rate decision. It may be coincidence, or it may be tied to concerns that Powell could maintain a firm stance on fighting inflation at his press conference. We will know soon enough.

Specifically to the grains and oilseeds, extended forecasts for improved harvest weather throughout North America are likely adding pressure to prices with only the Western Corn Belt and eastern Canadian Prairies having to endure additional rain in the meantime. Statistics Canada increased production in almost each of the principal field crops compared to it's Aug. 28 estimates Wednesday morning. The all-wheat category had the largest increase with 1.076 million metric tons (mmt) added to the previous estimate, likely adding to pressure on wheat markets. Canola only had a minor increase to 20.028 mmt from the 19.937 mmt estimated last month. The slight increase may have added pressure to canola, but it is likely the weakness in soybean oil can take the blame there. The fact EPA is open to considering as little as no reallocation of the small refinery exemptions seems to have spooked the market, giving back all of Tuesday's gains at midday.

Energy prices remain lower despite recent attacks by Ukraine on Russian energy infrastructure and talk of increased sanctions against Russia oil exports.

In outside markets, Treasuries and equities are mixed ahead of the FOMC interest rate decision while the U.S. dollar has been able to maintain small gains on the day, so far anyway.

(c) Copyright 2025 DTN, LLC. All rights reserved.