By Glen Hallick, MarketsFarm
WINNIPEG, Jan. 22 (MarketsFarm) – ICE Futures canola contracts were higher at midday Wednesday recovering most of yesterday’s losses.
Support was coming from improved Chicago soyoil prices, which were also attempting to recover most of Tuesday’s steep declines, a Winnipeg-based analyst commented.
He noted that volumes were light including the spreads.
The Canadian dollar was supportive as well, dropping to 76.17 U.S. cents, after closing Tuesday at 76.53.
Additional support came from higher European rapeseed prices, but there was pressure from more declines in Malaysian palm oil.
As the South American soybean harvest ramps up very soon, there will be pressure on vegetable oil prices including canola.
Approximately 6,800 canola contracts were traded as of 10:30 CST.
Prices in Canadian dollars per metric tonne at 10:30 CST:
Price Change
Canola Mar 479.40 up 2.60
May 488.30 up 2.70
Jul 493.20 up 3.20
Nov 497.00 up 3.70
