Canola futures were higher for the third straight day on Monday.
Strength in European rapeseed and palm oil offered support, with the market further underpinned by expectations the current 2024 canola crop estimate of just under 19 million tonnes will be revised lower in Statistics Canada’s final crop report for the season later this week.
On the other hand, the Australian government today raised its estimate of that country’s canola crop by 115,000 tonnes to 5.58 million, although that remains below last year. Weather for soybean crops in South American also remains good, with the potential for record output.
Despite recent small gains, a bigger rebound in canola largely depends on rising vegetable oil prices globally – a difficult hurdle without a crop threat in Brazil or Argentina.
January canola was up $7.50 to $581.60, and new-crop November added $11 to $587.80.
