By Phil Franz-Warkentin, Commodity News Service Canada
Feb. 20, 2014
Winnipeg – ICE Canada canola contracts were holding onto small gains in most months Thursday morning, after chopping around both sides of unchanged in overnight activity.
Advances in CBOT soyoil and Malaysian palm oil in overnight activity provided some underlying support, according to participants. Continued weakness in the Canadian dollar, after the currency lost roughly a cent relative to its US counterpart on Wednesday, was also somewhat supportive.
The recent bounce has shifted the nearby technical bias higher in canola, although traders cautioned that the longer-term trend is still bearish. As a result, any gains could be seen as a good selling opportunity from a chart standpoint.
Canada’s record large canola crop and the ongoing logistics issues across the Prairies remained a bearish influence overhanging the market as well.
About 6,000 canola contracts had traded as of 8:50 CST.
Milling wheat, durum, and barley futures were all untraded and unchanged after seeing some price revisions following Wednesday’s close.
Prices in Canadian dollars per metric ton at 8:50 CST:
