WINNIPEG, Manitoba--Canola futures on the Intercontinental Exchange ended their slide on Monday after getting support from vegetable oils.
Chicago soyoil gained more than one United States cent per pound, while European rapeseed and Malaysian palm oil also increased. However, crude oil lost more than US$2 per barrel after progress was made in peace talks between the U.S. and Iran.
However, an analyst said he doesn't understand the optimism coming from peace talks considering previous efforts have failed to bring a long-lasting ceasefire. The analyst said a heat wave in Europe will negatively impact crops in central Europe more than the western part of the continent. The canola market is also waiting on Statistics Canada's principal field crop area report come June 30.
At mid-afternoon, the Canadian dollar was up less than one-tenth of a U.S. cent compared to Friday's close. StatCan reported Canada's annual inflation rate went up to 3.2 per cent in May.
There were 67,020 canola contracts traded on Monday, compared to Friday when 25,880 contracts changed hands. Spreads accounted for 36,680 contracts in today's trade.
