By Glen Hallick, MarketsFarm
WINNIPEG, July 24 (MarketsFarm) – Intercontinental Exchange (ICE) canola futures were stronger at midday Monday, due to the latest developments in the Russia-Ukraine war and the conditions on the Canadian Prairies.
Russia launched missile and drone attacks on the Ukrainian port of Odesa as well as ports on the Danube River.
“Russia appears to be resolved to destroy Ukraine’s ports,” said an analyst, noting the attacked facilities could handle a total of about seven million tonnes of grain per month.
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Heat warnings have been issued for parts of Alberta and Saskatchewan, placing additional stress on those provinces’ crops.
“A lot of crops won’t be able to deal with the heat we had over the weekend and for the next couple of days,” the analyst commented.
He added the southern and central areas of the Prairies are expected to remain largely dry this week, while the northern area is to see more rain.
Additional support for canola came from gains in the Chicago soy complex, including a sharp upswing in soyoil. There were also strong increases in Malaysian palm oil, while European rapeseed was mostly higher, with a loss in its nearby August contract. Higher global crude oil prices were spilling over into the vegetable oils.
The Canadian dollar was on the rise at mid-Monday morning, as the loonie climbed to 75.89 U.S. cents compared Friday’s close of 75.69.
Approximately 18,500 canola contracts were traded as of 10:32 CDT.
Prices in Canadian dollars per metric tonne at 10:32 CDT:
Price Change Canola Nov 834.70 up 8.90 Jan 836.30 up 10.70 Mar 835.10 up 13.60 May 826.70 up 14.00
