By Glen Hallick, MarketsFarm
WINNIPEG, Dec. 29 (MarketsFarm) – Intercontinental Exchange (ICE) canola futures were higher at midday Wednesday, but had backed away from larger gains that resulted in new contract highs. That included the lightly-traded January contract hitting the daily limit of C$60 per tonne.
The market continued to contend with tight supplies of canola, with the need to ration demand.
Support was coming from small gains in Chicago soyoil and front months of European rapeseed. Increases in global crude oil prices bolstered edible oil values. Meanwhile, pressure from Chicago soybeans and soymeal weighed on canola values.
The below normal temperatures, combined with the holiday season, will slow grain movement on the Prairies. The weather is forecast to improve during the New Year weekend.
The Canadian dollar was higher with the loonie at 78.13 U.S. cents, compared to Tuesday’s close of 77.96.
Approximately 8,450 canola contracts were traded as of 10:32 CST.
Prices in Canadian dollars per metric tonne at 10:32 CST:
Price Change
Canola Jan 1,047.00 up 8.50
Mar 1,028.50 up 10.00
May 1,000.20 up 8.00
Jul 956.90 up 7.40
