Canola traded back and forth in a choppy session and closed near unchanged on Monday. Spillover support came from the sharply higher crude oil market, but the lower soybean complex kept a lid on gains. The question of whether the US will put tariffs on Canadian canola on April 2 also limited gains.
In Monday’s report, USDA estimated canola planted acres at 2.566 million, down 185,500 acres (or down 6.7%) from last year. USDA expects MN to plant 75,000 acres of canola vs. 110,000 acres last year and ND to plant 2.050 million vs. 2.140 million last year. US sunflower planted acres are estimated at 1.0725 million up 351,700 acres (or up 48.8%) from last year. Oil sunflowers are estimated at 960,500 acres vs. 594,000 acres last year while confections are at 112,000 acres vs. 126,800 last year. USDA estimates ND will plant 500,000 acres of sunflowers vs. 305,000 acres last year.
On Tuesday, canola traded lower for the first half of the overnight session before turning higher and adding to the gains throughout the day session to close with strong gains. Support came from the sharply higher soybean oil market on the news that oil and biofuels groups are recommending increasing the biomass-based diesel mandate from 3.35 billion gallons to 5.5 to 5.75 million gallons. They are taking their plan to EPA today. But gains were limited on tariff concerns as President Trump is expected to announce another round of tariffs tomorrow.
Canola traded back and forth in a very choppy session and closed with small losses on Wednesday. Canola traders were also waiting for Trump’s tariff announcement this afternoon to see if Canada’s canola and canola oil are listed. The US is by far the largest importer of Canadian canola oil (purchasing $5.6 billion in 2024). But the market only saw small losses as most of the tariff concerns are already worked into the market.
In Thursday’s session canola climbed higher throughout the overnight session and held those gains until late in the day session when the gains were trimmed a bit. But the market still closed with solidly higher. Canola traders were relieved after yesterday’s tariff announcement by President Trump. USMCA compliant goods will not be tariffed so canola and canola oil and meal will not see any tariffs at this point. Gains were limited by the steep losses in the soybean and soybean oil markets and the sharply higher Canadian dollar (up over 1 cent).
Thursday’s cash sunflower bids in Fargo were at $26.75. Cash canola bids in West Fargo were at $20.80. Cash canola bids in Velva were at $19.91.
For the week, May canola was at $622.00 up $8.60 while July canola was at $626.70 up $8.40.
For the month, May canola was down $38.60 while July canola was down $39.20.
Canola/Sunflower Weekly Comments April 4
Canola/Sunflower Weekly Comments April 4
Canola traded back and forth in a choppy session and closed near unchanged on Monday. Spillover support came from the sharply higher crude oil market, but the lower soybean complex kept a lid on gains. The question of whether the US will put tariffs on Canadian canola on April 2 also limited gains.
In Monday’s report, USDA estimated canola planted acres at 2.566 million, down 185,500 acres (or down 6.7%) from last year. USDA expects MN to plant 75,000 acres of canola vs. 110,000 acres last year and ND to plant 2.050 million vs. 2.140 million last year. US sunflower planted acres are estimated at 1.0725 million up 351,700 acres (or up 48.8%) from last year. Oil sunflowers are estimated at 960,500 acres vs. 594,000 acres last year while confections are at 112,000 acres vs. 126,800 last year. USDA estimates ND will plant 500,000 acres of sunflowers vs. 305,000 acres last year.
On Tuesday, canola traded lower for the first half of the overnight session before turning higher and adding to the gains throughout the day session to close with strong gains. Support came from the sharply higher soybean oil market on the news that oil and biofuels groups are recommending increasing the biomass-based diesel mandate from 3.35 billion gallons to 5.5 to 5.75 million gallons. They are taking their plan to EPA today. But gains were limited on tariff concerns as President Trump is expected to announce another round of tariffs tomorrow.
Canola traded back and forth in a very choppy session and closed with small losses on Wednesday. Canola traders were also waiting for Trump’s tariff announcement this afternoon to see if Canada’s canola and canola oil are listed. The US is by far the largest importer of Canadian canola oil (purchasing $5.6 billion in 2024). But the market only saw small losses as most of the tariff concerns are already worked into the market.
In Thursday’s session canola climbed higher throughout the overnight session and held those gains until late in the day session when the gains were trimmed a bit. But the market still closed with solidly higher. Canola traders were relieved after yesterday’s tariff announcement by President Trump. USMCA compliant goods will not be tariffed so canola and canola oil and meal will not see any tariffs at this point. Gains were limited by the steep losses in the soybean and soybean oil markets and the sharply higher Canadian dollar (up over 1 cent).
Thursday’s cash sunflower bids in Fargo were at $26.75. Cash canola bids in West Fargo were at $20.80. Cash canola bids in Velva were at $19.91.
For the week, May canola was at $622.00 up $8.60 while July canola was at $626.70 up $8.40.
For the month, May canola was down $38.60 while July canola was down $39.20.