By Phil Franz-Warkentin, Commodity News Service Canada
Jan. 23, 2014
Winnipeg – ICE Canada canola contracts were stronger Thursday morning, seeing a modest recovery following yesterday’s declines.
Overnight gains in the CBOT soy complex provided some spillover support for canola, especially as canola remains cheap compared to most other oilseeds.
Continued weakness in the Canadian dollar, which dropped below 90 US cents Thursday morning, helped underpin canola as well. The softer currency makes exports more attractive and also contributes to keeping crush margins at record highs.
However, Canada’s record large canola crop and the ongoing logistics issues moving it out of the Prairies remained a bearish influence on the market, according to traders. The overall technical trend remains pointed lower as well from a chart standpoint.
About 4,500 canola contracts had traded as of 8:44 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 8:44 CST:
