By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, March 15 (CNS Canada) – ICE Futures Canada canola contracts were stronger at midday Thursday, as weakness in the Canadian dollar and gains in Chicago Board of Trade soyoil provided support.
The Canadian dollar was down by about half a cent while soyoil took back most of Wednesday’s losses. Crush margins were showing some improvement as a result, which gave canola a boost, according to participants.
Supportive technical signals added to the firmer tone in canola, with fund traders thought to be adding to long positions.
However, ample old crop canola supplies and expectations for large seeded acres this spring tempered the upside. Ideas that the dryness concerns in Argentina have been priced into the market for the time being also put some pressure on values.
About 7,600 canola contracts had traded as of 10:42 CDT.
