By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Sept. 7 (MarketsFarm) – The ICE Futures canola market was holding onto small gains at midday Tuesday in thin and choppy activity.
Weakness in the Canadian dollar provided some underlying support, with the declining currency helping crush margins show some improvement.
Production issues across Western Canada remained supportive as well, with advancing harvest operations confirming the disappointing yields in many areas.
However, the poor crop has been factored into the market for some time, with canola looking overpriced compared to other oilseeds. Chicago Board of Trade soybeans and soyoil futures were weaker at midday, tempering the upside in canola.
About 8,000 canola contracts traded as of 10:52 CDT.
Prices in Canadian dollars per metric tonne at 10:52 CDT:
Price Change
Canola Nov 886.90 up 0.70
Jan 870.30 up 1.40
Mar 850.30 up 1.20
May 829.80 up 0.20
