Canola Futures Fall Amid Trade Talks Uncertainty
ICE Canada canola futures were steady to lower on Monday morning due to declines in comparable oils, including Chicago soyoil and soybeans as well as European rapeseed and Malaysian palm oil. Losses in crude oil added pressure on vegetable oils.
The failure of Canada-United States trade talks on Friday has injected uncertainty into the markets. Prairie temperatures are forecasted to range from mid-teens Celsius in northern Alberta to mid-to-upper 20s across the rest of the region, with rain expected for southern Manitoba and parts of Saskatchewan and Alberta.
Canola crush margins eased back, with November positions between $262.80 and $267.60 per tonne above the futures. Questions continue to swirl over this year's canola crop size, with Agriculture and Agri-Food Canada estimating 21.6 million tonnes and the U.S. Department of Agriculture pegging it at 22.5 million tonnes.
The Canadian dollar fell back on Monday morning, trading at $0.7231 USD compared to Friday's close of $0.7267 USD.