By Glen Hallick, MarketsFarm
WINNIPEG, June 29 (MarketsFarm) – Canola futures on the Intercontinental Exchange (ICE) were higher at midday Wednesday, due to support from the Chicago soy complex and European rapeseed. However, there was a little bit of pressure from declines in the off session of Malaysian palm oil.
Gains in global crude prices were shrinking, but were still lending support to vegetable oils.
An analyst doubted whether the current increases in canola prices would hold up or not. He said positioning ahead of tomorrow’s planted acres and stocks reports from the United States Department of Agriculture (USDA) were likely to pull things to the downside.
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Also of note, Statistics Canada is scheduled to release its planted acres estimates on Tuesday.
Manitoba issued its weekly crop report, noting that upwards to 700,000 acres of all crops are likely to remain unplanted this year. Insects and disease were extracting a toll on crops, with flea beetles a problem for canola.
The Canadian dollar was down with the loonie at 77.55 U.S. cents, compared to Tuesday’s close of 77.74.
Approximately 9,900 canola contracts were traded as of 10:36 CDT.
Prices in Canadian dollars per metric tonne at 10:36 CDT:
Price Change
Canola Jul 903.90 up 7.60
Nov 895.90 up 5.30
Jan 904.60 up 7.30
Mar 911.00 up 6.70
