Canola futures finished sharply higher on Wednesday, supported by a strong rally in outside vegetable oil and energy markets.
Renewed military tensions between the U.S. and Iran sent crude oil prices higher, giving a lift to biofuel-linked agricultural markets. Canola, which is closely tied to vegetable oil demand and renewable fuel markets, followed the broader strength in energy and oilseeds.
Gains in Chicago soybean oil added further support, helping pull canola higher. The move also reflected ongoing sensitivity to Prairie crop conditions, with wet weather and excess moisture in parts of Western Canada keeping some production risk in the market.
November canola jumped $23.10 to $783.70, and January gained $22.80 to $793.50.
