Canola Falls Amid Trade Uncertainty and Declining Oils
ICE Canola futures are trading steady to lower on Monday morning due to sharp declines in comparable oils. Chicago soyoil and soybeans, as well as European rapeseed and Malaysian palm oil, are all pulling back. The losses in crude oil are adding more pressure on the vegetable oils.
The failure of Canada-US trade talks on Friday has injected uncertainty into the markets. Prairie temperatures are forecast to range from the mid-teens Celsius in northern Alberta to the mid to upper 20s across the rest of the region, with rain expected for southern Manitoba and parts of Saskatchewan and Alberta.
The November canola contract has slipped below its 20-day moving average but continues to hold above other major technical levels. Canola crush margins have eased back, with November positions between C$262.80 and C$267.60 per tonne above the futures.