A strong rally in Chicago soybean oil pulled canola futures to double-digit gains on Tuesday.
Reports today said soybean oil jumped on news that representatives of American biofuel and crude oil groups would meet the Environmental Protection Agency to discuss potentially raising federal mandates for biomass diesel blending. Any increase would likely increase demand for soyoil as feedstock. Soybeans were also higher on the day, although soymeal did close lower.
The gains in canola were more modest compared to soyoil, with the Canadian market continuing to deal with trade uncertainty. The US is due to unveil sweeping new tariffs tomorrow, however, the details are unknown.
May canola climbed $14.60 to $627.10, and November added $12.40 to $630.40.
