ICE canola continues higher Friday

By Phil Franz-Warkentin

Glacier FarmMedia | MarketsFarm — The ICE Futures canola market was stronger at midday Friday, seeing follow through buying interest after Thursday’s corrective bounce off nearby lows.

Tightening supply projections and solid export demand underpinned the futures. Weekly Canadian canola exports of 174,800 tonnes were up 24 per cent from the previous week, with crop-year-to-date exports running two million tonnes ahead of the year-ago pace at 4.2 million tonnes.

Gains in Chicago soybeans provided spillover support, although soyoil was weaker on the day. European rapeseed was mixed and Malaysian palm oil lower.

The canola market will be closed next week for Christmas and Boxing Day, while operating at reduced hours on Dec. 24. Positioning ahead of the holidays accounted for some of the activity.

An estimated 31,400 canola contracts traded as of 10:51 CST.

Prices in Canadian dollars per metric tonne at 10:51 CST:

Canola            Jan   610.70    up 12.20

Mar   614.20    up  8.90

May   618.00    up  6.00

Jul   616.00    up  2.50