WINNIPEG, Dec. 21 (MarketsFarm) – Intercontinental Exchange (ICE) canola futures were higher on Tuesday morning, deriving support from gains in Chicago soyoil and the front months of European rapeseed. Meanwhile, lower Malaysian palm oil weighed on values.
With the holiday season trading can be erratic due to reduced volumes.
Additional support came from tight canola supplies and the need to ration demand. However, the Canadian oilseed can be seen as overvalued when compared to other edible oils.
A snowstorm will move across the Prairies prior to Christmas, dumping two to five centimeters of snow on most of the region. Temperatures are forecast to drop into the minus 20 Celsius range by Dec. 25.
The Canadian dollar was slightly higher this morning, with the loonie at 77.34 U.S. cents compared to Monday’s close of 77.27.
About 2,750 canola contracts had traded as of 8:36 CST.
Prices in Canadian dollars per metric tonne at 8:36 CST:
Price Change
Canola Jan 1,019.00 up 5.80
Mar 1,008.10 up 5.90
May 972.80 up 5.30
Jul 922.00 up 5.50
