Canola futures closed higher for the third straight day on Friday, with strength in Chicago soybean oil spilling over to provide support.
Reports the US government will soon issue a ruling on requests by small oil refiners for biofuel exemptions sent soybean oil to sharp gains on Thursday, with further advances again today. There are ideas the ruling could reallocate biofuel obligations to larger refiners, thus sustaining demand for biofuel, Reuters reported.
Soybeans were also higher on the day amid a positive weekly export sales report from the USDA on Thursday and hopes that China will soon return to buying American beans.
Palm oil was higher today as well, but European rapeseed fell.
November canola gained $3.20 to $666.50, and January was up $3.10 at $677.50.
