Canola futures extended the previous day's gains on Thursday, with the November contract closing back above the $800/tonne level.
Some support for the market came from concerns about Canadian crop conditions, particularly dryness across parts of the Prairies. Although scattered rainfall has provided relief in some areas, uneven moisture conditions continue to leave uncertainty around final yield potential. Today's Saskatchewan crop report noted the need for rain in many areas, with the province's overall harvest stalled at 2% complete due to cooler temperatures over the past week.
Gains in canola were tempered by losses in Chicago soyoil and weakness in crude oil, which fell on renewed questions about global energy demand. With the market coming off recent gains, some profit taking also limited the upside.
November canola gained $9.10 to $803.50, and January was $7.50 higher at $811.10.
