By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, July 6 (CNS Canada) – ICE Futures canola contracts posting small gains in most months Friday morning, although activity was thin and choppy as participants squared positions ahead of the weekend.
Gains in Chicago Board of Trade soybeans provided some underlying support. However, Chinese and U.S. tariffs go into effect today, and the uncertainty over the threats to global trade kept some caution in the agricultural futures markets.
Persistent dryness concerns in parts of the Prairies remained supportive, with excessive heat in the nearby forecasts for some areas.
However, crush margins have deteriorated in recent weeks and canola is looking expensive compared to other oilseeds, according to participants.
About 3,500 canola contracts had traded as of 8:57 CDT.
