Canola futures suffered sharp declines on Wednesday amid heavy losses in Chicago soybeans and soybean oil, along with widespread weakness in global vegetable oil markets.
A steep drop in crude oil prices added to the selling pressure, as lower energy values diminished support for vegetable oils used in renewable diesel and other biofuels. European rapeseed and Malaysian palm oil futures also traded lower. Crude oil plunged amid speculation that the U.S. could pursue a diplomatic resolution to its conflict with Iran following Tuesday's midterm elections.
Continued speculative selling added to the downside in canola.
January canola fell $13.50 to $768.30, and November 2027 lost $13.10 to $760.70.
