By Glen Hallick, MarketsFarm
WINNIPEG, Dec. 9 (MarketsFarm) – Intercontinental Exchange (ICE) canola futures were slightly higher at mid-session on Friday, ahead of the December supply and demand estimates from the United States Department of Agriculture (USDA).
The market will be looking to what the USDA will say about rapeseed in its world market and trade report for oilseeds. In the department’s November report, it estimated global rapeseed production at 84.82 million tonnes. However, recent reports from Australia and Canada raised and lowered their respective production numbers.
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“A change of a million tonnes in the oilseed supply and demand would be very significant,” an analyst commented.
In the meantime, gains in Chicago soymeal, Malaysian palm oil and European rapeseed were providing some support for canola. However, losses in Chicago soybeans and soyoil were putting pressure on the Canadian oilseed. Global crude oil prices have turned around with small upticks providing support to vegetable oils.
The Canadian Grain Commission (CGC) reported canola exports for the week ended Dec. 4 were down slightly at 234,400 tonnes. The year-to-date exports of 2.88 million tonnes remained well ahead of this time last year.
The Canadian dollar was lower on Friday with the loonie at 73.36 U.S. cents, compared to Thursday’s close of 73.63.
Approximately 23,650 canola contracts were traded as of 10:24 CST.
Prices in Canadian dollars per metric tonne at 10:24 CST:
Price Change Canola Jan 876.50 up 1.30 Mar 864.70 up 3.50 May 862.70 up 1.40 Jul 862.90 up 1.10
