ICE Canola Slightly Stronger with Soy

European rapeseed and Malaysian palm oil prices were nearing multi-year highs, which was adding to canola’s bullish behavior.

Good domestic processor demand for canola helped to influence the upward price action, with profitable crush margins stimulating that interest, market watchers said.

However, gains were tempered by a strong Canadian dollar, which was hovering near parity with its US counterpart early Wednesday.

China is preparing to auction 300,000 tonnes of rapeseed oil reserves to try to ease rising vegetable oil prices, brokers said. This also limited canola’s upward pressure.

The continued favorable weather conditions across the Canadian prairies for harvest operations were also limiting gains in canola.

At 08:35 CDT, there had been about 2,500 canola contracts traded.

Western barley contracts were unchanged and untraded early Wednesday.

Prices in Canadian dollars per metric ton at 8:35 CDT: