By Dave Sims, Commodity News Service Canada
WINNIPEG, October 7 – Canola contracts on the ICE Futures Canada platform were slightly higher at 10:55 CDT Tuesday, following soybeans. Canola and soybeans had started the day lower but as beans turned higher, canola followed suit.
“Canola’s a follower, there’s a lack of selling in North America by the producer, and the whole board is tilted to the shorts,” said an analyst.
He added investors are nervously waiting for the release of the USDA’s monthly crop progress report. That is scheduled to be released on Friday.
“Everybody has big, huge profits, especially the funds, in beans, canola, all you’re seeing is massive short-covering and people getting even before the report,” he said.
The Canadian dollar was weaker against its American counterpart which was bullish for values.
Wet weather has set in across parts of North America which was also supportive.
However, harvest efforts are still advancing across Western Canada which limited the gains.
Around 20,500 contracts had traded as of 10:55 CDT, Tuesday.
Prices in Canadian dollars per metric ton at 10:55 CDT:
