By Phil Franz-Warkentin, Commodity News Service Canada
April 6, 2015
Winnipeg – Canola contracts on the ICE Futures Canada platform were holding onto small gains at midday Monday, as advances in CBOT soyoil provided some underlying support.
A broker described the activity as “choppy” and “two-sided,” with much of the trade linked to the May/July spread.
While the gains in CBOT soyoil were supportive, soybeans were lower. The stronger tone in the Canadian dollar was also bearish for canola, limiting the upside potential, according to the broker. The European rapeseed market was closed today for Easter Monday.
Farmers were said to be largely on the sidelines, waiting to see where the market goes ahead of spring seeding.
Reports that China’s rapeseed crop might be down on the year were somewhat supportive, while the large South American soybean crop and good US prospects remained bearish.
About 8,000 canola contracts had traded as of 10:40 CDT.
Milling wheat, durum and barley were all untraded.
Prices in Canadian dollars per metric ton at 10:40 CDT:
