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More Setbacks for Canola

Canola futures continued to lose ground on Monday, adding to the sharp losses incurred late last week.  

A major sell-off in the stock and equities markets fueled much of the decline, while additional pressure came from downturns in the Chicago soy complex and European rapeseed. There were slight gains in Malaysian palm, as well as global crude oil prices.   

Rain for the next few days is expected to slow any remaining spring planting on the Prairies, especially in the wetter eastern regions. 

July canola fell $16.90 to $1,087.20, November dropped $15.60 to $1,028.60 and January lost $16.40 to $1,034.10.

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U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again

Video: U.S.-China Trade “Truce” + U.S. Fed Cuts Rates Again


The market was hoping for a US-China trade deal, but we got a trade “truce” for now from the keenly awaited Trump-Xi meeting at the APEC Summit.
China commits to minimum purchase commitments of 12 MMT of U.S. soybeans during the “current season” and a minimum of 25 MMT annually through 2028.
U.S. Treasury Sec Bessent said other Asian countries have agreed to buy additional 19 MMT of US soybean.
Soybean futures trading above $11 now- they normally tend to rally to $12.
As expected, US Fed cuts interest rates by -0.25% again in October to 3.75%–4.00%. No further cuts promised for this year but trade looking out to the Dec FOMC.
The Bank of Canada cut interest rates to 2.25% but raised concern over trade war damage.
Soy meal futures, remarkably, have had 14 consecutive higher close sessions. A bull market in soybeans is a bull market in soy meal!
Cattle futures lower as funds unwind out of cattle for now due to Trump headlines and objective to lower beef prices.
All major stock indices climb to new record highs. It was Mag 7 reporting week, which had mixed results. But we now have the first $5 trillion company in Nvidia!