By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Nov. 7 (CNS Canada) – ICE Futures canola contracts were posting small gains at midday Wednesday, as the market saw some consolidation following recent declines.
The January canola contract hit a session low of C$480 per tonne on Tuesday before recovering as speculators and end-users returned to the buy side. That buying interest remained supportive on Wednesday, with a slowdown in seasonal hedge pressure and gains in Chicago Board of Trade soyoil also underpinning the market.
Uncertainty over the size and quality of the later-harvested canola crops also provided support.
However, a firmer tone in the Canadian dollar put some pressure on values. Losses in CBOT soybeans also weighed on prices.
About 6,000 canola contracts traded as of 10:25 CST.
