By Phil Franz-Warkentin, Commodity News Service Canada
April 15, 2014
Winnipeg – ICE Canada canola contracts were stronger Tuesday morning, seeing some follow-through buying interest after Monday’s advances.
The nearby technical bias is said to be pointed higher for canola, which accounted for some of the chart-based buying interest, according to participants. A weaker tone in the Canadian dollar, the fact that canola remains cheap compared to other oilseeds, and the need to keep some weather premiums in the futures ahead of spring seeding were also underpinning the market.
Gains in CBOT soybeans, Malaysian palm oil and European rapeseed futures all provided some spillover support for canola. However, soyoil was weaker.
Canada’s burdensome supply situation and the ongoing expectations for another big crop this summer tempered the upside potential.
About 1,400 canola contracts had traded as of 8:35 CDT.
Milling wheat, durum, and barley futures were all untraded after seeing some price revisions following Monday’s close.
Prices in Canadian dollars per metric ton at 8:35 CDT:
