Canola futures took it on the chin on Monday, with the May contract (shown below) closing just above the $700/benchmark.
Canola was battered by limit losses in Chicago soybeans and soybean oil amid declines in crude oil and uncertainty about Chinese demand for American soybeans after U.S. President Donald Trump mused about possibly delaying an upcoming summit with Chinese leader Xi Jinping that traders had hoped might lead to additional Chinese purchases of U.S. supplies. Crude oil, meanwhile, was undermined by reports that some ships had successfully transited the Strait of Hormuz as the U.S. war on Iran rages on. European rapeseed and palm oil also lost ground on the day.
Gains in the Canadian dollar were negative for canola as well.
As shown on the May futures chart below, the losses in canola today sent the market to its lowest since early March, after it has climbed to its highest in eight months.
May canola was down $37.30 at $702.60, and November lost $35.50 to $698.70.
May canola: source- Barchart
