ICE Canola Prices Rise: Midday Market Update

ICE Canola Futures Rise at Mid-Session

WINNIPEG, Manitoba - Intercontinental Exchange canola futures were higher at mid-session Thursday, on what an analyst believes could be concerns toward canola being planted late.

Planting Season and Price Outlook

Earlier this week, Alberta Agriculture Financial Services extended its seeding deadlines for the province's northeast, northwest and Peace regions. "But the crop always gets in," the analyst said. He added that until this year's crops are seen to be off to a good start, there's still room for canola to increase. However, most often prices in July are lower than in May.

Inflation and Commodity Markets

The analyst noted there will very likely be higher inflation much further down the road, which he says is bullish for canola and other agricultural commodities. Support for canola also came from gains in the Chicago soy complex and Malaysian palm oil, while European rapeseed was mixed. There were softer upticks in crude oil, stepping away from larger increases earlier Thursday.

Canadian Dollar and Trading Volume

The Canadian dollar was higher late Thursday morning, with the loonie at 72.44 U.S. cents compared with Wednesday's close of 72.30. About 39,800 canola contracts were traded as of 11:30 a.m. ET. Prices in Canadian dollars per metric tonne: Jul 760.90 (up 4.20), Nov 771.90 (up 4.20), Jan 779.50 (up 4.00), Mar 784.80 (up 3.80).