By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Aug. 4 (CNS Canada) – Canola contracts on the ICE Futures Canada platform were posting small gains at midday Thursday, but were lagging the Chicago Board of Trade soy complex to the upside.
“The funds are in control, and they just want to keep pushing it down,” said a canola trader.
He added that the large production prospects were also weighing on values, as end users have little reason to pay up for supplies ahead of the seasonal harvest pressure.
Strength in the Canadian dollar was another bearish influence on canola, with the currency up a quarter cent relative to its US counterpart.
While the industry is anticipating a large crop, there are still enough areas of concern across the Prairies to provide some underlying support for the futures, said participants.
About 8,000 canola contracts had traded as of 10:59 CDT.
Milling wheat, durum, and barley futures were all untraded and unchanged.
