ICE Futures canola market settled with small losses on Thursday but ended well off its session lows as early fund selling subsided and speculators returned to the buy side as the day progressed.
November canola was down by as much as C$14 per tonne Thursday morning but recovered ground in the last two hours of trade to finish only C$1.20 per tonne behind Wednesday’s close.
A trader expected speculative funds were behind the choppy activity, as they played both sides of the market.
Losses in Chicago soybeans and soyoil accounted for some spillover selling pressure, but canola found independent support from tightening old crop supplies and wide crush margins.
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ICE canola weaker at midday Friday
By Phil Franz-Warkentin Glacier FarmMedia — The ICE Futures canola market was weaker at midday Friday, taking some direction from…
Mixed Prairie growing conditions kept some weather premiums in the market, with dryness in some areas countered by relatively favourable weather elsewhere.
There were 37,997 contracts traded on Thursday, which compares with Wednesday, when 59,885 contracts changed hands. Spreading accounted for 14,018 of the contracts traded.
SOYBEAN futures at the Chicago Board of Trade weakened for the fifth session in a row on Thursday, hitting their lowest levels since April. Wednesday’s move below US$10 per bushel in the November contract was bearish from a technical standpoint, encouraging additional selling pressure.
Relatively favourable Midwestern weather and a lack of export demand from China contributed to the weakness in soybeans.
Weekly United States soybean export sales included 349,200 tonnes of old crop business and 429,500 tonnes to move during the 2025/26 marketing year.
CORN managed to hold onto small gains, despite the good U.S. growing conditions.
News that U.S. President Donald Trump was pushing back increased tariffs on Mexican imports for another 90 days provided some support, as Mexico is a major buyer of U.S. corn.
Weekly U.S. corn export sales were solid, with about 340,000 tonnes of old crop business and nearly 1.9 million tonnes of new crop. The U.S. Department of Agriculture also announced flash sales of 376,000 tonnes split between Colombia, South Korea and unknown destinations.
WHEAT futures were mixed on Thursday, with gains in the hard red wheat futures and a softer tone in Chicago soft wheat.
Weekly U.S. wheat export sales were in line with trade expectations at 592,200 tonnes.
