Canola Market Outlook: May 30, 2022

Weekly canola market outlook provided by Marlene Boersch of Mercantile Consulting Venture Inc.

Key Points for the Week:

  • Soybeans – CBOT soybeans were the best performer last week, with both old and new crop reaching contract high closes.

  • The US EIA report provided more evidence that the build-out in renewable energy capacity will continue to drive the soybean oil market higher, which in turn will drive the crush and the demand for soybeans.

  • The corn/soybean ratio still favours corn, but planting delays should start favouring soybeans in some areas.

  • Canola – Total canola disappearance during the first 38 weeks of the crop year amounted to 12.1 million MT compared to 17.9 million MT last YTD.

  • Seeding has not gone smoothly, and we will keep reviewing seeded canola acreage given the problems in Manitoba and Alberta.

  • It’s a short trading week and we see no reason to sell additional cash at this time.

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Canola Market Outlook: June 6, 2022

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Canola Market Outlook: May 24, 2022