WINNIPEG – The ICE Futures canola market was in the red at midday Thursday, with a five United States cents per pound drop in Chicago soyoil partly to blame.
The U.S. Environmental Protection Agency (EPA) is set to announce new biofuel blends in the next few days. But one trader believes that canola prices are holding up well and there may not be too many changes to biofuels.
“There were some comments in Washington, D.C. today from the administration that they want to reopen the biofuel policy,” the trader said. “Generally speaking, Biden and his administration are not seen as being that supportive of it.”
European rapeseed was also lower, while Malaysian palm oil was mixed. However, crude oil gained more than one U.S. dollar per barrel just one day before OPEC+ meets to discuss production output.
The Canadian dollar gained more than four-tenths of a U.S. cent, putting even more pressure on canola prices.
Nearly 13,900 canola contracts were traded as of 10:32 CST.
Price Change
Canola Jan 829.60 dn 15.90
Mar 827.70 dn 16.10
May 832.60 dn 14.50
Jul 836.20 dn 14.50
