By Glen Hallick, MarketsFarm
WINNIPEG, April 13 (MarketsFarm) – Intercontinental Exchange (ICE) canola futures were higher at midday on a ‘Turnaround Tuesday,’ although prices backed away from their highs.
There were sharp gains in Chicago soyoil, as wells as support from increases in Malaysian palm oil and European rapeseed.
A Winnipeg-based trader commented there have been reports that approximately 123,500 acres of rapeseed in France was damaged by the cold weather.
As for the Canadian Prairies, he said the amount of snow varies across the region from trace amounts upwards to 10 inches. The snow, mixed with some rain will be helpful to any crops that were planted early.
“We needed the moisture bad, but I don’t see it as super-bearish,” he commented, noting the outlook is for below normal precipitation for the next few weeks.
After dropping to 79.19 U.S. cents, the Canadian dollar has bounced back with the loonie at 79.69. That made it virtually unchanged when compared to Monday’s close of 79.66.
“That’s not going to help us as the day moves along,” the trader said.
Approximately 11,400 canola contracts were traded as of 10:37 CDT.
Prices in Canadian dollars per metric tonne at 10:37 CDT:
Canola May 815.20 up 8.10
Jul 741.20 up 8.00
Nov 631.80 up 4.60
Jan 632.30 up 4.20