By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, April 9 (CNS Canada) – ICE Futures Canada canola contracts were holding onto small gains Monday morning in thin and choppy activity.
Early gains in Chicago Board of Trade soybeans provided underlying support, although soyoil futures were weaker.
Canola showed independent strength relative to soybeans last week. However, the Canadian oilseed was starting to look expensive compared to soybeans, which tempered the upside, according to participants.
The threat of a trade war between China and the United States continued to overhang the grains and oilseeds, with canola traders still trying to get a handle on what possible tariffs on U.S. soybeans would mean for Canadian exports.
Persistent winter weather across much of Western Canada was raising concerns over seeding delays, providing some underlying support for the futures.
About 6,500 canola contracts had traded as of 8:57 CDT.
