By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Dec. 9 (MarketsFarm) – The ICE Futures canola market was posting small gains in most months at midday Wednesday, seeing some consolidation after large overnight price swings.
The most active January contract dropped by C$12 per tonne at one point in overnight trade, but was back trading near unchanged at midday. Gains in the Chicago Board of Trade soy complex provided some underlying support, according to a broker.
Solid end user demand, from both exporters and domestic crushers, provided some underlying support.
Relatively mild temperatures across the Prairies have seen farmers make steady deliveries in recent weeks, but forecasts calling for colder weather should temper the country movement, said the broker.
About 25,000 canola contracts traded as of 10:50 CST. Intermonth spreading was a feature, as participants were busy rolling out of the January contract.
Prices in Canadian dollars per metric tonne at 10:50 CST:
Price Change
Canola Jan 584.00 up 0.10
Mar 580.10 up 0.50
May 576.00 up 0.90
Jul 568.70 up 0.10
