ICE Canola Midday: Turning around to push lower
Pressure from weaker soy complex
By Glen Hallick
Glacier Farm Media MarketsFarm – Intercontinental Exchange canola futures turned lower at midday Thursday, getting pressure from a weaker Chicago soy complex.
Uncertainty regarding tariffs and biofuel policies of the incoming Trump administration continued to push down the complex, as did improving weather conditions in Brazil and Argentina.
“Canola does not have the momentum to sustain a higher move on its own, especially with beans down 10 to 12 cents (per bushel),” one analyst commented.
Another analyst questioned what could happen with Canadian canola oil exports should U.S. imports for biofuel drop sharply in 2025.
“Where does it go? It won’t be sold for a higher price,” he stated.
Losses in Malaysian palm oil also weighed on canola values, but European rapeseed was mixed. Upticks in crude oil were tempering further declines in the vegetable oils.
The Canadian dollar was lower Thursday afternoon as the loonie slipped to 71.35 U.S. cents compared to Wednesday’s close of 71.53.
Approximately 33,850 canola contracts were traded as of 10:24 am CST, with prices in Canadian dollars per metric tonne:
Price Change Canola Jan 639.90 dn 9.20 Mar 652.40 dn 9.10 May 660.90 dn 7.80 Jul 663.20 dn 6.70
