WINNIPEG, Manitoba--ICE canola futures were stronger on Friday, benefitting from a surge in comparable oil prices.
There were strong upswings in Chicago soybeans and soyoil as well as Malaysian palm oil, but soymeal and European rapeseed were up modestly. After taking hard hits earlier this week, global crude oil prices were recovering quite handily, which spilled over into the vegetable oils.
An analyst suggested the upticks in the vegetable oils could also be a round of short covering.
The analyst also said there are numerous anecdotal reports of farmers seeding on the western Prairies, but on the eastern Prairies only the driest and well drained areas have seen any action.
Above normal temperatures through to mid-May should see planting get off to a quick start. Alberta is set to publish its first crop report of 2023 this afternoon.
The Canadian Grain Commission reported producer deliveries of canola for the week ended April 30 were 337,800 tons, up 20% from the previous week. Canola exports came to 167,000 tons, rising almost 5%, while domestic usage dipped 2% at 195,800 tons.
Statistics Canada is scheduled to issue its next grain stocks report on Tuesday.
With that spike in crude oil, the Canadian dollar was stronger as well on Friday. The loonie jumped to 74.48 U.S. cents, compared with Thursday's close of 73.71 U.S. cents.
About 19,400 canola contracts were traded as of 11:42 a.m. ET.
Prices in Canadian dollars per metric ton at 11:42 a.m. ET:
Canola Price Change
Jul 729.20 up 14.10
Nov 705.90 up 12.70
Jan 712.20 up 13.20
Mar 720.00 up 16.70 Source: Commodity News Service Canada, news@marketsfarm.com
(END) Dow Jones Newswires
05-05-23 1209ET
