By Phil Franz-Warkentin, Commodity News Service Canada
Jan. 6, 2014
Winnipeg – ICE Canada canola contracts were posting small gains Monday morning in relatively thin trade as the market continued to see some consolidation above nearby support.
Gains in CBOT soybeans provided some spillover support for canola, especially as the Canadian oilseed remains cheap compared soybeans, according to participants. Weakness in the Canadian dollar helped underpin the futures as well.
However, CBOT soyoil was a little softer in early activity, which tempered the upside potential in canola.
Canada’s record large canola crop and the logistics issues moving it continued to overhang the market as well. Favourable crop prospects for soybeans in South American were also said to be weighing on the oilseeds in general.
About 1,500 canola contracts had traded as of 8:48 CST.
Milling wheat, durum, and barley futures were all untraded, although wheat saw some price adjustments following Friday’s close.
Prices in Canadian dollars per metric ton at 8:48 CST:
