ICE Review: Canola Boosted by Mideast Tensions

WINNIPEG, Manitoba--The ICE Futures canola market was stronger on Tuesday, nearing chart resistance as activity resumed after Monday's National Day for Truth and Reconciliation.

Reports that Iran launched a ballistic missile attack on Israel sent crude oil climbing higher, with world vegetable oil markets also rising amid the escalating conflict.

European rapeseed and Malaysian palm oil were up on the day. However, Chicago soyoil backed away from its own gains, tempering the upside in canola.

Ideas that Canadian canola yields may not live up to the official expectations were also supportive, with provincial estimates and anecdotal reports generally coming in below the official Statistics Canada data.

Striking grain workers at the Port of Vancouver reached a tentative deal over the weekend, taking some uncertainty out of the canola market.

There were an estimated 68,186 contracts traded on Tuesday, which compares with Friday when 53,768 contracts traded.

Spreading accounted for 38,630 of the contracts traded.

Settlement prices are in Canadian dollars per metric tonne.

 
 Canola 
        Price   Change 
 Nov    610.80  up 7.00 
 Jan    624.00  up 7.70 
 Mar    635.00  up 8.00 
 May    642.80  up 8.80 
 

Spread trade prices are in Canadian dollars and the volume represents the number of spreads:

 
 Months                 Prices              Volume 
 Nov/Jan        12.10 under to 14.30 under   9,382 
 Nov/Mar        22.30 under to 25.00 under      45 
 Nov/Jul        38.10 under                      1 
 Nov/Nov        31.50 under to 35.40 under      38 
 Jan/Mar        9.40 under to 11.40 under    4,816 
 Jan/Jul        22.00 under to 22.50 under      24 
 Jan/Nov        21.70 under                    100 
 Mar/May        5.60 under to 7.90 under     3,172 
 Mar/Jul        12.90 under to 13.30 under      57 
 May/Jul        4.40 under to 6.50 under       925 
 Jul/Nov        3.60 over to 0.30 over         755 
 

Source: Commodity News Service Canada, news@marketsfarm.com

(END) Dow Jones Newswires

October 01, 2024 15:20 ET (19:20 GMT)

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