Canola futures retreated from earlier gains to finish lower on Friday as Chicago soybeans suffered steep losses.
Today’s USDA supply-demand update – the first since September – did not appear overly bearish for soybeans, with the 2025-26 average US yield and ending stocks reduced by more than expected. However, a cut in the export forecast and lack of Chinese buying helped to send the market lower regardless. Corn and wheat also lost significant ground.
Soybean oil and meal ended lower on the day as well, along with European rapeseed and crude oil. Palm oil was mixed. The Canadian dollar was higher, adding further pressure to canola.
January canola dropped $3.40 to $647.50, and March fell $3 to $658.60.
