WINNIPEG--Intercontinental Exchange canola futures were stronger Tuesday, but backed well away from earlier highs. At one point the November contract reached C$900.00 per metric ton.
Support came from the Statistics Canada production update, which lowered 2021/22 canola production from 14.7 million metric tons last month to 12.8 million metric tons. Compared to the previous year, the canola harvest is down more than 34%.
Spillover came from gains in Chicago soyoil, European rapeseed and Malaysian palm oil. Those increases were tempered by declines in Chicago soybeans and soymeal.
The Prairie weather forecast is conducive to the ongoing harvest, with daytime temperatures in the high teens to low 20 degrees Celsius. Scattered showers are expected for the northern parts of Alberta and Saskatchewan.
Manitoba is scheduled to issue its weekly crop report later this afternoon. Last week, the province-wide harvest of major crops was around 50% complete with the combining of canola at 32% done.
The Canadian dollar was lower, with the loonie at 78.85 U.S. cents, compared to Monday's close of 78.98.
There were 39,618 contracts traded on Tuesday, which compares with Monday, when 19,663 contracts changed hands. Spreading accounted for 26,554 contracts traded.
Settlement prices are in Canadian dollars per metric ton.
Canola Nov 872.30 up 10.60
Jan 863.00 up 10.20
Mar 849.90 up 8.90
May 833.80 up 6.40
Spread trade prices are Canadian dollars and the volume represents the number of spreads:
Months Prices Volume
Nov/Jan 12.50 over to 8.50 over 6,321
Nov/Mar 25.70 over to 21.60 over 1,620
Nov/May 41.80 over to 36.00 over 22
Nov/Jul 64.50 over to 54.60 over 18
Nov/Nov 199.90 over to 181.50 over 149
Jan/Mar 14.90 over to 10.60 over 3,018
Jan/Jul 45.60 over 5
Mar/May 16.90 over to 13.40 over 751
Mar/Jul 37.00 over 25
May/Jul 24.10 over to 19.10 over 1,163
Jul/Nov 135.40 over to 116.70 over 185
Source: Commodity News Service Canada, firstname.lastname@example.org
(END) Dow Jones Newswires