By Phil Franz-Warkentin, Commodity News Service Canada
May 21, 2014
Winnipeg – Canola contracts on the ICE Futures Canada platform were holding onto small gains in most months at 10:49 CDT Wednesday, recovering from earlier declines as gains in the CBOT soy complex provided spillover support.
“Canola’s snapping back with the bean market,” said a trader, adding that the weaker Canadian dollar, a lack of significant farmer selling, and seeding delays in Manitoba were also supportive.
However, while seeding progress is behind in Manitoba, the majority of the Canadian canola crop is grown in Alberta and Saskatchewan where seeding conditions have been more favourable, said the trader.
The large old crop supplies overhanging the market and ideas that recent gains were overdone also served to temper the upside potential.
About 8,500 canola contracts had traded as of 10:49 CDT, with the July/November spread a feature of the activity.
Milling wheat, durum, and barley futures were untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:49 CDT:
