ICE Midday: May canola falls below C$600/tonne

Glacier FarmMedia | MarketsFarm – The ICE Futures canola market continued its descent in the middle of trading on Tuesday following the implementation of Chinese tariffs.

On Friday, China imposed 100 per cent levies on Canadian canola oil and meal in retaliation to Canadian surcharges on Chinese-made electric vehicles, steel and aluminum last year.

Meanwhile, Chicago soyoil was steady, while European rapeseed and Malaysian palm oil were lower. Crude oil made gains due to a weaker United States dollar, but was still pressured by tariff concerns and planned output hikes by OPEC+.

One analyst called the current downturn in canola prices a “panic” with similar movement unseen in other vegetable oils.

The Canadian dollar was down nearly four-tenths of a United States cent compared to Monday’s close.

About 59,300 contracts have traded at 10:22 CDT. Prices in Canadian dollars per metric tonne:

Price          Change

May 592.30     dn 12.70

Jul 605.10     dn 12.70

Nov 612.80     dn  7.80

Jan 619.90     dn  9.20