ICE Grain/Oilseed Review : Canola Makes Gains, Rises With Crude, Veg Oils

WINNIPEG--The ICE Futures canola market settled with double-digit gains on Monday, but finished off session highs.

Strength in crude oil helped support canola as speculation grew over a potential curb in output from OPEC+. Rising crude- oil prices spilled over into vegetable oils, where Chicago soyoil, European rapeseed and Malaysian palm oil also made gains.

While canola crush margins are returning to normal levels, they are still much higher from typical levels.

However, the Canadian dollar was stronger Monday, trading at more than three-tenths of a U.S. cent higher to put pressure on canola prices.

Weather conditions look favorable with high temperatures ranging from the teens to low-20 degrees Celsius earlier in the week before cooling off with sun and clouds throughout.

About 47,045 canola contracts were traded on Monday, which compares with Thursday when 49,576 contracts changed hands. The ICE canola market was closed on Friday for The National Day for Truth and Reconciliation.

Spreading accounted for 32,872 of the contracts traded.

Settlement prices are in Canadian dollars per metric ton.

Nov 863.80 up 11.80

Jan 872.30 up 12.10

Mar 879.00 up 11.80

May 880.80 up 11.50

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

 
   Months  Prices                    Volume 

Nov/Jan 7.30 under to 9.00 under 8,072

   Nov/Mar 14.30 under to 15.40 under   47 
   Nov/May 16.20 under                  14 
   Nov/Nov 17.00 over to 7.60 over      78 

Jan/Mar 6.40 under to 7.20 under 5,267

   Jan/May  8.50 under                  45 

Mar/May 1.00 under to 2.50 under 1,531

   Mar/July 2.00 under to 3.00 under    15 
   Mar/Nov 30.00 over                   50 
   May/Jul  0.10 under to 2.00 under   610 
   Jul/Nov 34.50 over to 25.50 over    707 
 

Source: Commodity News Service Canada, [e-mail]

(END) Dow Jones Newswires

10-03-22 1628ET