By Glen Hallick, MarketsFarm
WINNIPEG, Sept. 2 (MarketsFarm) – Intercontinental Exchange (ICE) canola futures were higher at midday Thursday, getting a bounce from gains in Chicago soyoil and soybeans.
Higher values for European rapeseed and Malaysian palm oil provided additional support, while a dip in Chicago soymeal tried to temper increases.
A trader said it’s important for canola to remain expensive due to supply issues, noting the November 2021 contract was “doing its job by killing demand aggressively.”
He added that was also resulting in money flowing out of the front months and into much cheaper canola contracts such as July and November 2022.
The Canadian dollar was higher and weighed on canola values. The loonie was at 79.59 U.S. cents compared to Wednesday’s close of 79.32.
Approximately 8,300 canola contracts were traded as of 10:16 CDT.
Prices in Canadian dollars per metric tonne at 10:16 CDT:
Price Change
Canola Nov 896.30 up 5.50
Jan 880.40 up 4.30
Mar 860.90 up 2.90
May 841.20 up 0.90
