Canola Futures Slide with Crude Oil Prices
ICE canola futures took a hit on Monday morning, mirroring the decline in crude oil prices. The market was affected by the recent developments between the US and Iran, which have eased tensions and led to lower oil prices. As of this writing, crude oil had dropped by at least $4 per barrel. This downward trend also impacted other commodities, including soybean oil, European rapeseed, and Malaysian palm oil.
The Canadian dollar lost 2/10ths of a cent compared to Friday's close, which may have further contributed to the decline in canola futures. With heat warnings in effect for areas south of Calgary, Regina, and Winnipeg, temperatures are expected to soar, potentially impacting crop yields. However, rain is forecasted for parts of Alberta, Saskatchewan, and Manitoba.
According to the data from ICE, nearly 23,600 contracts were traded on Monday morning. The prices in Canadian dollars per metric ton as of 8:44 CDT were:
Nov $810.40 down $14.50
Jan $818.70 down $14.90
Mar $823.40 down $15.60
May $825.10 down $15.40