ICE canola uptrend continues on smaller crop
By Phil Franz-Warkentin
Glacier FarmMedia | MarketsFarm — The ICE Futures canola market was stronger at midday Friday, as tightening supply projections remained supportive for the second day.
Statistics Canada pegged 2024/25 canola production at 17.8 million tonnes on Thursday, which was down by over a million tonnes from an earlier estimate and well short of the 19.2 million tonnes grown the previous year.
Gains in Chicago soyoil provided additional spillover support, although European rapeseed and Malaysian palm oil were mixed.
The January canola contract moved back above C$600 per tonne, bringing in additional chart-based speculative buying.
Canada exported 193,400 tonnes of canola during the week ended Dec. 1, bringing the crop-year-to-date total to 3.89 million tonnes, according to the latest Canadian Grain Commission data. That compares with only 2.03 million tonnes through four months of the previous crop year.
An estimated 60,500 canola contracts traded as of 10:54 CST.
Prices in Canadian dollars per metric tonne at 10:54 CST:
Canola Jan 607.30 up 17.10
Mar 615.60 up 15.30
May 623.70 up 13.90
Jul 626.50 up 13.50