To start the week, canola saw small losses at the start of the overnight session but soon got on the positive side and closed with decent gains. Support came the higher Malaysian palm oil market as palm oil stocks are at a 21-month low as January palm oil production was down 17%. Strong end user and export demand added to the gains. Gains were limited by the losses in the soybean oil market.
On Tuesday canola gapped lower at the start of the overnight session and then traded back and forth in a choppy session. The market saw gains late in the day session and closed higher for the fourth session in a row. Support came from the higher soybean oil and European rapeseed markets. Tight supplies of canola were also supportive. In Tuesday’s report, USDA left their estimate of Canadian canola production unchanged at 18.8 MMT vs. Stats Canada’s current estimate of 17.85 MMT.
In Wednesday’s session canola opened overnight with small gains but quickly turned lower. The market stayed on the lower side and ended the streak of 4 higher closes in a row. Pressure came from the losses in the soybean complex. Spillover pressure came from the sharply lower crude oil market. Losses were limited by very tight canola stocks.
Canola traded back and forth in a choppy session and closed with losses on Thursday. Pressure came from the lower Malaysian palm oil and European rapeseed markets. The stronger Canadian dollar added pressure. Losses were limited by the strong gains in the soybean oil market. Canadian canola supplies are tight, but tariff concerns are hanging over the market.
Thursday’s cash sunflower bids in Fargo were at $25.00. Cash canola bids in West Fargo were at $20.70. Cash canola bids in Velva were at $19.90.
For the week, March canola was at $663.50 up $6.70 while May canola was at $674.50 up $10.00.
Canola/Sunflower Weekly Comments February 14
Canola/Sunflower Weekly Comments February 14
To start the week, canola saw small losses at the start of the overnight session but soon got on the positive side and closed with decent gains. Support came the higher Malaysian palm oil market as palm oil stocks are at a 21-month low as January palm oil production was down 17%. Strong end user and export demand added to the gains. Gains were limited by the losses in the soybean oil market.
On Tuesday canola gapped lower at the start of the overnight session and then traded back and forth in a choppy session. The market saw gains late in the day session and closed higher for the fourth session in a row. Support came from the higher soybean oil and European rapeseed markets. Tight supplies of canola were also supportive. In Tuesday’s report, USDA left their estimate of Canadian canola production unchanged at 18.8 MMT vs. Stats Canada’s current estimate of 17.85 MMT.
In Wednesday’s session canola opened overnight with small gains but quickly turned lower. The market stayed on the lower side and ended the streak of 4 higher closes in a row. Pressure came from the losses in the soybean complex. Spillover pressure came from the sharply lower crude oil market. Losses were limited by very tight canola stocks.
Canola traded back and forth in a choppy session and closed with losses on Thursday. Pressure came from the lower Malaysian palm oil and European rapeseed markets. The stronger Canadian dollar added pressure. Losses were limited by the strong gains in the soybean oil market. Canadian canola supplies are tight, but tariff concerns are hanging over the market.
Thursday’s cash sunflower bids in Fargo were at $25.00. Cash canola bids in West Fargo were at $20.70. Cash canola bids in Velva were at $19.90.
For the week, March canola was at $663.50 up $6.70 while May canola was at $674.50 up $10.00.