WINNIPEG, Manitoba--ICE canola futures were rallying to fresh contract highs Wednesday morning amid heightened hostilities in the Middle East.
Iran and the United States traded fresh attacks, with an Iranian drone strike briefly shutting down a major airport in Kuwait. There was little progress in peace talks and the resulting advances in crude oil spilled into the grains and oilseeds.
Chicago soyoil, European rapeseed and Malaysian palm oil were all higher. A softer tone in the Canadian dollar was also supportive for canola.
Bullish chart signals contributed the gains, as canola touched fresh highs. The new crop November contract briefly topped C$800 per ton before backing away from that psychological level.
Seeding delays in parts of Western Canada were supportive.
