By Phil Franz-Warkentin
Glacier FarmMedia MarketsFarm – The ICE Futures canola market was holding onto small gains at midday Thursday, finding support from advances in Chicago soyoil.
Chart-based positioning was a feature, as the market appears to have found a floor for the time being, according to participants. The March contract hit a low of C$610.20 per tonne on Monday, after a week of losses but has since stabilized after becoming oversold. The recent weakness was also thought to have brought in some end user bargain-hunting.
A weaker tone in the Canadian dollar, down by about a third of a cent relative to its United States counterpart, added to the firmer tone in canola.
However, losses in European rapeseed did put some pressure on values.
An estimated 20,400 canola contracts traded as of 10:44 CST.
Prices in Canadian dollars per metric tonne at 10:44 CST:
Canola Mar 622.40 up 2.80
May 630.00 up 2.40
Jul 635.10 up 1.90
Nov 633.50 up 1.60
