By Phil Franz-Warkentin, Commodity News Service Canada
March 7, 2014
Winnipeg – ICE Canada canola contracts were posting small gains Friday morning, as advances in most outside oilseed markets helped keep the bias pointed higher.
Malaysian palm oil, European rapeseed, and CBOT soybeans were all up in overnight activity, which underpinned the Canadian oilseed, according to participants. The Canadian dollar was down three-quarters of a cent relative to its US counterpart, which was also supportive for canola.
The nearby technical bias has shifted higher for canola, and speculative short-covering remained a feature after the market broke above some key chart resistance levels earlier in the week, said traders.
However, the gains were also uncovering some increased farmer selling on the other side, according to participants. Profit-taking ahead of the weekend and the ongoing logistics issues slowing movement across the Prairies were also bearish.
About 7,500 canola contracts had traded as of 8:52 CST.
Milling wheat, durum, and barley futures were all untraded after wheat saw some minor price revisions following Thursday’s close.
Prices in Canadian dollars per metric ton at 8:52 CST:
