ICE Canola Midday: Prices on the rise with upticks in soy
Gains in other comparable oils assisting
By Glen Hallick
Glacier Farm Media MarketsFarm – Intercontinental Exchange canola futures turned stronger by midsession on Friday, benefitting from sharp upticks in the Chicago soy complex.
Gains in European rapeseed and Malaysian also spilled over into canola, while increases in crude oil added to the upswing in vegetable oils.
“I don’t think there’s anything positive in the [canola] market, it’s just establishing a bottom,” an analyst commented. “It’s good to see it stabilize.”
With the lockout at Canada’s two largest railways coming to an end through binding arbitration, the analyst noted it will likely take until the end of next to get traffic back to normal at Canadian National Railway.
Meanwhile, representatives from Canadian Pacific Kansas City and the Teamsters Canada Rail Conference will be meeting with the Canada Industrial Relations Board to hammer out back-to-work arrangements.
The analyst said the comments made on Friday by United States Federal Reserve Chair Jerome Powell regarding a coming interest rate cut has boosted the equities market, but there was little effect on the commodities.
The Canadian dollar was stronger by late Friday morning, with the loonie at 74.00 U.S. cents compared to Thursday’s close of 73.52.
Approximately 15,350 canola contracts were traded as of 10:26 am CDT, with prices in Canadian dollars per metric tonne:
Price Change Canola Nov 578.90 up 13.40 Jan 590.50 up 12.50 Mar 599.20 up 12.00 May 604.60 up 10.90
