By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, April 19 (CNS Canada) – ICE Futures Canada canola contracts were stronger at midday Thursday, as speculative short-covering ahead of the month-end provided support.
“Shorts are panicking and trying to get rid of it ahead of the first notice day,” said a broker.
A looming strike at Canadian Pacific Rail was also keeping some caution in the market, accounting for some of the speculative short-covering.
Concerns over a late seeding start in Western Canada were also supportive, although most traders are still expecting to see record large Canadian canola acres this spring.
Soybean futures at the Chicago Board of Trade were down at midday, which tempered the upside potential in canola.
About 17,000 canola contracts had traded as of 10:55 CDT.
