Canola Futures Soar on Seasonal Support and Wheat Spillover

The canola market is experiencing strong gains on multiple factors, according to an analyst. Seasonal support and good demand are contributing to the increase in Intercontinental Exchange canola futures.

Lingering concerns about the recent Prairie heatwave and gains in European rapeseed are also driving up prices. The analyst notes that there's spillover from hikes in wheat futures affecting corn, soybeans, and canola.

The November canola contract has surpassed its major moving averages, further underpinning the oilseed. Manitoba's canola is generally at the bolting or flowering stage, while later-planted crops are at the four to six leaf stage.