ICE Closing Review: Canola pulls back as crude oil falls

Glacier FarmMedia – It was a red day on the markets and canola futures on the Intercontinental Exchange were no exception.

Crude oil lost between US$2 to US$4 per barrel the United States and Iran said there could be an end to the Middle East war in the near future. The news shrunk the risk premiums for crops.

A trader attributed profit-taking, the long weekend and bearish fundamentals for canola’s downturn, adding that lower prices could raise buying interest from China.

Chicago soyoil lost more than one U.S. cent per pound, while European rapeseed and Malaysian palm oil were down.

At mid-afternoon, the Canadian dollar gained one-quarter of a U.S. cent compared to Tuesday’s close.

There were 56,844 canola contracts traded on Wednesday, compared to Tuesday when 62,917 contracts changed hands. Spreads accounted for 30,168 contracts in today’s trade.

Settlement prices are in Canadian dollars per metric tonne.

May 718.50 dn 13.30

Jul 731.80 dn 12.70

Nov 725.50 dn 11.10

Jan 731.40 dn 10.80

Spread trade prices are in Canadian dollars:

May/Jul 12.50 under to 13.30 under  9,157

May/Nov  4.50 under to  8.20 under    374

Jul/Nov  8.20  over to  5.00  over  4,008

Jul/Jan  2.20  over to  0.40  over     36

Nov/Jan  4.80 under to  6.00 under  1,418

Jan/Mar  3.60 under to  4.50 under     64

Mar/May  0.60 under to  1.00 under     18

May/Jul  0.40  over to  0.20 under      9

To access the latest futures prices, go to https://www.producer.com/markets-futures-prices/

Stay informed with our daily market videos. Each video quickly covers key futures moves, price trends, and market signals that matter to Canadian farmers. Get clear, timely insights in just a few minutes. Bookmark https://www.producer.com/markets-futures-prices/videos