WINNIPEG, Manitoba--The ICE Futures canola market was higher for the July contract but lower for the deferreds in the middle of trade on Thursday.
Chicago soyoil and European rapeseed were both showing strength, while Malaysian palm oil was lower. Crude oil moved lower on speculation the U.S. Federal Reserve is set for another interest rate hike.
One trader said that while canola could take cues from U.S. grains prior to the U.S. Department of Agriculture's monthly supply-and-demand estimates which will be released on Friday. Meanwhile, the oilseed remained in a "weather-driven market."
"If this weather holds and we get timely rains or thunderstorms with lack of demand, I think these prices will stay here. But if we get a raging weather-adverse market in the U.S. coupled with a few problems here, we'll see canola trading over C$700 (per metric ton) in the July contract very quickly," the trader said.
The Canadian dollar was up one-tenth of a U.S. cent compared with Wednesday's close.
Nearly 19,750 canola contracts were traded as of 10:32 a.m. CDT.
Price Change
Canola Jul 670.80 up 0.60
Nov 643.70 dn 3.70
Jan 649.90 dn 4.10
Mar 655.60 dn 4.80
Source: Commodity News Service Canada, news@marketsfarm.com
(END) Dow Jones Newswires
06-08-23 1204ET
