Canada: Canola price creeps higher despite slow export levels

The demand situation in canola still looks worrisome, but its price has crept up from the autumn low set in October. In addition to weak exports, the poor performance of soy oil and crude oil also weigh on canola’s outlook. In the oilseed complex, soybeans have performed the best this fall since the United States and China decided to cool their trade war. For weeks president Donald Trump boasted of forthcoming soybean sales to China, but there were no confirmations. On Nov. 17, traders told that China had finally booked 840,000 tonnes for shipment in December and January. The next day, the U.S. Department of Agriculture confirmed China bought 792,000 tonnes. The hope that China would again buy American soybeans buoyed soybean futures. From Oct. 1 to Nov. 18, the nearby soy futures contract rose almost 11.9 percent. In the same period, canola futures rose 5.8 percent. But soy oil, which has a large bearing on canola prices, rose only 3.5 percent in that period, and crude oil, which ...