By Glen Hallick, MarketsFarm
WINNIPEG, Aug. 8 (MarketsFarm) – ICE Futures canola contracts were stronger at midday Thursday, having crossed the 40-day moving average, said a Winnipeg-based analyst.
He chalked up the gains so far today due to a lack of farmer selling.
“We’ve broken through the high-end of our trading range. The U.S. markets, as well as [European] rapeseed are stronger today,” the analyst commented.
He also noted the funds were short and had yet to cover anything at this point, but if such were to occur that might sustain a rally.
Also providing support was the Chicago soy complex, and in particular soyoil which was up by nearly seven-tenths of a cent. A favourable weekly export sales report from U.S. Department of Agriculture helped fuel the hike in bids.
The Canadian dollar was up at 75.39 U.S. cents.
Approximately 11,100 canola contracts were traded as of 10:23 CDT.
Prices in Canadian dollars per metric tonne at 10:23 CDT:
Price Change
Canola Nov 454.30 up 4.90
Jan 462.80 up 5.00
Mar 469.40 dn 5.10
May 475.80 dn 5.10
