By Jade Markus, Commodity News Service Canada
WINNIPEG, May 27 – ICE Canada canola contracts were stronger in early activity on Friday, propped up by declines in the Canadian dollar.
The loonie lost ground against its US counterpart Friday morning, pressured by weaker crude oil prices and favourable US GDP data.
A lower Canadian dollar is bullish for canola, as it makes the commodity more appealing to international buyers.
Spillover support from Chicago Board of Trade soybeans and soy oil also helped buoy canola prices.
Traders could be hesitant, market watchers say, as the US has an upcoming long weekend.
However, overnight losses in Malaysian palm oil limited gains in canola on Friday.
Improved crop conditions with favourable rains in Western Canada also capped advances.
About 2,352 canola contracts had traded as of 8:42 CDT.
Milling wheat, durum, and barley futures were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 8:42 CDT:
