By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, June 27 (CNS Canada) – ICE Futures Canada canola contracts were stronger at midday Wednesday, as Prairie weather concerns provided some support.
Heat and dryness is reportedly causing stress to canola crops in parts of Western Canada, although forecasts are calling for much needed rain in some areas heading into the weekend.
Gains in Chicago Board of Trade soybeans and soyoil provided some spillover support for canola, according to participants.
Statistics Canada and the United States Department of Agriculture both release acreage estimates on Friday, and positioning ahead of the reports accounted for some of the activity. Both Canadian canola and U.S. soybean acres are generally expected to be up from earlier estimates.
Global trade issues kept some caution in the background of the agricultural markets. The Canadian dollar was slightly firmer at midday.
About 15,200 canola contracts had traded as of 10:45 CDT. The July/November spread was a feature as participants continue to roll their positions out of the front month.
