By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Dec. 3 (MarketsFarm) – The ICE Futures canola market was stronger Friday morning, finding support from Statistics Canada’s updated production estimates confirming the tight supply situation.
The government agency pegged the 2021/22 (Aug/Jul) canola crop at 12.6 million tonnes, which was down from the 12.8 million tonnes forecast in September and well below the 19.5 million tonnes grown the previous year. The Dec. 3 report was the first of the year conducted using farmer surveys, with previous estimates based off of satellite imagery.
Gains in outside markets, including crude oil and the Chicago soy complex, contributed to the firmer tone in canola.
The Canadian dollar was also stronger in early activity, tempering the upside in canola somewhat.
About 4,400 canola contracts had traded as of 8:41 CST.
Prices in Canadian dollars per metric ton at 8:41 CST:
Price Change
Canola Jan 1,042.10 up 19.50
Mar 1,003.70 up 18.60
May 956.20 up 14.70
Jul 902.20 up 10.70
