By Terryn Shiells, Commodity News Service Canada
WINNIPEG, Jan. 5– Canola futures on the ICE Canada trading platform were stronger at midday Monday, following the gains seen in Chicago soybean and soyoil futures, analysts said.
Some spillover support also came from the gains seen in European rapeseed futures overnight.
The sharply lower Canadian dollar, as it fell below 85 cents US on Monday, was also bullish as it made canola more attractive to crushers and exporters.
Further support came from strong commercial demand for canola and ongoing worries about unfavourable wet weather damaging Malaysian palm oil crops.
However, canola was lagging soybeans to the upside, as it moved higher while the Chicago futures moved lower on Friday.
Continued good weather for the South American soybean crop and expectations that Canadian farmers will start to sell more products now that we’ve entered a new tax year were also bearish.
As of 10:48 CST Monday, about 12,700 contracts had traded.
Milling wheat, barley and durum futures were untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:48 CST:
