By Terryn Shiells, Commodity News Service Canada
WINNIPEG, Jan. 27 – Canola futures on the ICE Canada trading platform were mostly higher at midday Tuesday, underpinned by speculative based buying.
Speculative fund accounts were trying to push the long canola, short soybean spread as far as possible, according to a broker, adding that they were “pushing upstream and winning.”
End user demand for Canadian canola supplies remains steady, which was also supportive.
However, spillover pressure from the declines seen in Chicago soybean and soyoil futures was limiting the advances, as was sentiment that canola is overvalued compared to other oilseeds.
Ongoing expectations of record large South American soybean production were also bearish, though there are some areas of concern in the north.
The Canadian currency moved higher against the US dollar Tuesday, but remained very weak and below the 81 cents US mark.
As of 10:37 CST Tuesday, about 9,300 contracts had traded.
Milling wheat, barley and durum futures were untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:37 CST:
