Canola futures closed lower for the second day in a row on Tuesday, pressured by weakness in outside markets and a further pullback in crude oil prices.
Energy markets continued to retreat after the previous session’s volatility tied to Middle East tensions, weighing on the broader oilseed complex.
Losses in Chicago soybean oil added spillover pressure to canola, although soybeans and soybean meal did post gains. Both European rapeseed and palm oil finished in the red. Today’s monthly supply-demand update from the USDA had little direct impact on oilseed markets, leaving canola to follow outside influences instead. With no major bullish news emerging, the market drifted lower as participants focused on weakening energy prices and softer global vegetable oil sentiment.
May canola fell $6.30 to $720.10, and November lost $4.60 to $714.10.
