North American Grain and Oilseed Review: Too much pressure on canola to sustain gains
Weakness highlights trading in Chicago
By Glen Hallick, MarketsFarm
Glacier Farm Media MarketsFarm – Intercontinental Exchange canola futures gave up their earlier gains on Thursday to close the day lower.
Pressure on canola came from sharp losses in Malaysian palm oil and more modest declines in the Chicago soy complex. Upticks in European rapeseed and crude oil helped to temper the pull back in canola.
The increases in canola this morning may have been encouraged by buying ahead of United States tariffs to be imposed by President Donald Trump come March 4.
Statistics Canada reported the January canola crush came to 1.01 million tonnes, up almost eight per cent from a year ago. Also, StatCan said canola deliveries last month were 2.17 million tonnes, a 37 per cent jump from the previous January.
The Canadian dollar was weaker Thursday afternoon due to an upswing in the U.S. dollar. The loonie dropped to 69.25 U.S. cents compared to Wednesday’s close of 69.74.
There were 40,936 contracts traded on Thursday, compared to 36,978 on Wednesday. Spreading accounted for 20,228 contracts traded.
Prices are in Canadian dollars per metric tonne:
Price Change Canola Mar 642.20 dn 6.70 May 658.10 dn 6.30 Jul 664.90 dn 5.40 Nov 649.00 dn 4.10
SOYBEAN futures at the Chicago Board of Trade lost their increases, turning lower on Thursday due to the looming tariff plans of United States President Donald Trump.
At the U.S. Department of Agriculture’s Outlook Forum, projections for 2025/26 included planted soybean acres of 84 million, down by 3.10 million from what was sown in 2024/25.
The USDA issued its export sales report for the week ended Feb. 20 with old crop soybeans at 410,900 tonnes, soymeal at 176,500 tonnes and soyoil at 18,400 tonnes. While soybeans and soyoil came within trade expectations, those for soymeal fell below its mark.
Argentina could see excessive rainfall over the coming 10 days.
An oilseed union in Argentina has threatened a strike at processing plants with salaries as the main issue.
First notice day for March futures is Feb. 28.
CORN futures were weaker on Thursday, in sympathy with soybeans and wheat.
The USDA predicted planted corn acres for 2025/26 at 94 million, up by 3.4 million from those seeded the year before.
Export sales of U.S. corn came to 794,700 tonnes of old crop, well short of market guesses, plus 128,000 tonnes of new crop.
WHEAT futures were down hard on Thursday, due to tariffs and decent weather conditions.
The eastern half of the U.S. is forecast to receive moderate precipitation over the next week, with lighter amounts on the Plains.
The Outlook Forum projected total planted wheat acres for 2025/26 at 47 million, up by 900,000 from those seeded in 2024/25.
The USDA said wheat export sales were 269,000 tonnes of old crop, slightly under market predictions.
Consultancy IKAR cut its call on Russian wheat exports for 2024/25 by 500,000 tonnes at 42.50 million and pegged wheat production at about 82 million tonnes.
Statistics Canada reported January all wheat deliveries added up to 3.58 million tonnes, compared to nearly three million the previous January.
Jordan issued a tender for 120,000 tonnes of milling wheat and Tunisia is seeking 25,000 tonnes of soft milling wheat.
