To start the week canola gapped higher at the start of the overnight session and then traded in a fairly narrow range overnight. The market climbed higher in the day session and closed sharply higher. Support came from the strong gains in the soybean market and hot temps in the forecast for the Canadian Prairies. Speculative buying as canola saw new contract highs added support. As of July 14, Alberta’s canola crop was rated 56% g/e, down 1% from 2 weeks ago.
In Tuesday’s session, canola opened lower but managed to firm to trade with small gains by the end of the night session. Early selling spilled over from the lower US soybean complex. The pressure in the US soybean market kept pressure on canola all day. Reports that Canada’s crop is doing better than expected added support. There are reports of drowned out and crop abandonment, but nothing out of the normal. Losses were kept in check by war concerns as both the US and Iran war along with the Russian Ukraine war seem to continue to be escalating.
Canola traded on both sides of unchanged overnight but climbed higher throughout the day session on Wednesday to close with strong gains and at 3-year highs. Support spilled over from the higher crude oil market (at 6 week-highs) and the higher soybean complex (with soybeans at new contract highs). Forecasts for hot temps and little rain across the Canadian Prairies added support.
On Thursday canola traded on both sides of unchanged overnight but, as has been the pattern, saw gains in the day session and closed again with strong gains. Canola is now sitting at 3-year highs. Support came from the higher crude oil market. The gains in the soybean complex added support. Hot and dry conditions in the Canadian Prairies also added to the gains.
Thursday’s cash sunflower bids in Fargo were at $28.10. Cash canola bids in Fargo were at $28.85. Cash bids in Velva were at $27.73.
For the week, Nov canola was at $824.90 up $30.40. Jan canola closed at $833.60 up $29.80.
Canola/Sunflower Weekly Comments July 24
Canola/Sunflower Weekly Comments July 24
To start the week canola gapped higher at the start of the overnight session and then traded in a fairly narrow range overnight. The market climbed higher in the day session and closed sharply higher. Support came from the strong gains in the soybean market and hot temps in the forecast for the Canadian Prairies. Speculative buying as canola saw new contract highs added support. As of July 14, Alberta’s canola crop was rated 56% g/e, down 1% from 2 weeks ago.
In Tuesday’s session, canola opened lower but managed to firm to trade with small gains by the end of the night session. Early selling spilled over from the lower US soybean complex. The pressure in the US soybean market kept pressure on canola all day. Reports that Canada’s crop is doing better than expected added support. There are reports of drowned out and crop abandonment, but nothing out of the normal. Losses were kept in check by war concerns as both the US and Iran war along with the Russian Ukraine war seem to continue to be escalating.
Canola traded on both sides of unchanged overnight but climbed higher throughout the day session on Wednesday to close with strong gains and at 3-year highs. Support spilled over from the higher crude oil market (at 6 week-highs) and the higher soybean complex (with soybeans at new contract highs). Forecasts for hot temps and little rain across the Canadian Prairies added support.
On Thursday canola traded on both sides of unchanged overnight but, as has been the pattern, saw gains in the day session and closed again with strong gains. Canola is now sitting at 3-year highs. Support came from the higher crude oil market. The gains in the soybean complex added support. Hot and dry conditions in the Canadian Prairies also added to the gains.
Thursday’s cash sunflower bids in Fargo were at $28.10. Cash canola bids in Fargo were at $28.85. Cash bids in Velva were at $27.73.
For the week, Nov canola was at $824.90 up $30.40. Jan canola closed at $833.60 up $29.80.