ICE canola futures end lower on trade jitters

All figures in Canadian dollars unless noted

Jan 27 (Reuters) - ICE canola futures closed lower on Monday as traders worried about tariffs, a drop in crude oil prices and spillover weakness from U.S. tech giants.

Most-active March canola RSH5 settled down $8.00 at $630.70 per metric ton.

March canola RSH5 is trading above its 20-, 50- and 100-day moving averages but has been hitting resistance whenever it climbs above its 200-day moving average.

Even though many traders see canola as undervalued compared to other oilseed crops, anxiety about Canada-U.S. trade tensions is deflating any bullishness. "Nobody wants to pull in and buy it. There are too many unknowns out there. You buy canola today and whack, there's a tariff," said a trader.

Officials say U.S. President Donald Trump might impose tariffs on Canada and Mexico before beginning trade talks, the Wall Street Journal reported on the weekend.

Canada's former finance minister, Chrystia Freeland, who is a contender to replace Prime Minister Justin Trudeau, on Monday said Canada should hit the U.S. with hundreds of billions of dollars of retaliatory tariffs if Trump carries out his threats.

In other global vegetable oil markets on Monday, Chicago Board of Trade soyoil futures BOv1 fell 0.49%.

Euronext August rapeseed futures COMG5 fell 1.63% while Malaysian palm oil futures FCPOc3 rose 0.05%. POI/

U.S. equity markets sold off .N on reports that Chinese AI company DeepSeek might have found a way to provide AI more effectively than the leading U.S. players. MKTS/GLOB

Crude oil CLc1 dropped about 2% on the equity selloff. O/R

The Canadian dollar CAD= weakened but stayed within a range that has dominated since Dec. 18. CAD/