Canola traded back and forth in Monday’s choppy session and closed with small losses in the front months and gains in the deferred contracts. Support came from the gains in the soybean complex and Malaysian palm oil market. Pressure came from slow export demand. Traders were also disappointed that no breakthroughs were made in last week’s trade talks between Canada and China.
Canola traded back and forth in a choppy session and closed just above unchanged on Tuesday. Support came from technical buying. Gains were limited by the steep losses in the soybean oil market. Agriculture and Agri-Food Canada left their canola production estimate unchanged at 20.03 MMT. Exports were estimated at 7.0 MMT.
On Wednesday canola gapped lower at the start of the overnight session, was able to rebound and see decent gains in the day session only to fade late in the session and close with losses. Pressure came from the losses in the soybean oil and Malaysian palm oil markets. Ideas that Canada’s canola crop is closer to 22 MMT vs. the current government estimates of 20 MMT added pressure, especially since China is not buying any Canadian canola.
In Thursday’s session canola slowly climbed higher throughout the overnight session and held the gains in the day session to close solidly higher. All of the vegetable oil markets saw spillover support from the sharply higher crude oil market after the US placed sanctions on Russian oil companies and China suspended Russian oil purchases. Canadian officials visited Mexico to strengthen trade ties and visited a Mexican company that plans to double its imports of Canadian canola over the next 3 to 5 years. Mexico is one of the top 5 importers of Canadian canola. Manitoba reported their canola harvest is now 100% complete.
Thursday’s cash sunflower bids in Fargo were at $20.85. Cash canola bids in Fargo were at $20.05. Cash bids in Velva were at $19.34
For the week, November canola was at $617.50 up $1.30 and January canola was at $632.50 up $2.20.
Canola/Sunflower Weekly Comments October 24
Canola/Sunflower Weekly Comments October 24
Canola traded back and forth in Monday’s choppy session and closed with small losses in the front months and gains in the deferred contracts. Support came from the gains in the soybean complex and Malaysian palm oil market. Pressure came from slow export demand. Traders were also disappointed that no breakthroughs were made in last week’s trade talks between Canada and China.
Canola traded back and forth in a choppy session and closed just above unchanged on Tuesday. Support came from technical buying. Gains were limited by the steep losses in the soybean oil market. Agriculture and Agri-Food Canada left their canola production estimate unchanged at 20.03 MMT. Exports were estimated at 7.0 MMT.
On Wednesday canola gapped lower at the start of the overnight session, was able to rebound and see decent gains in the day session only to fade late in the session and close with losses. Pressure came from the losses in the soybean oil and Malaysian palm oil markets. Ideas that Canada’s canola crop is closer to 22 MMT vs. the current government estimates of 20 MMT added pressure, especially since China is not buying any Canadian canola.
In Thursday’s session canola slowly climbed higher throughout the overnight session and held the gains in the day session to close solidly higher. All of the vegetable oil markets saw spillover support from the sharply higher crude oil market after the US placed sanctions on Russian oil companies and China suspended Russian oil purchases. Canadian officials visited Mexico to strengthen trade ties and visited a Mexican company that plans to double its imports of Canadian canola over the next 3 to 5 years. Mexico is one of the top 5 importers of Canadian canola. Manitoba reported their canola harvest is now 100% complete.
Thursday’s cash sunflower bids in Fargo were at $20.85. Cash canola bids in Fargo were at $20.05. Cash bids in Velva were at $19.34
For the week, November canola was at $617.50 up $1.30 and January canola was at $632.50 up $2.20.