By Glen Hallick, MarketsFarm
WINNIPEG, Feb. 16 (MarketsFarm) – Intercontinental Exchange (ICE) Futures canola contracts were higher at midday Tuesday, getting support from strong gains in Chicago soyoil.
Trading resumed following the holidays in Canada and the United States on Monday.
“Beanoil is the leader by far,” said a Winnipeg-based trader, noting that it’s up by more than a penny per pound on the Chicago Board of Trade.
There was also support coming from European rapeseed and Malaysian palm oil.
Plus support was being generated by the funds, the trader said.
“The funds going into the holiday were buying anything that moved,” he commented.
With dwindling canola stocks, there remained the specter of price rationing to stymie growing demand in the old crop months.
The Canadian dollar was slightly higher at midday, with the loonie at 78.81 U.S. cents compared to Friday’s close of 78.67.
Approximately 13,700 canola contracts were traded as of 10:30 CST.
Prices in Canadian dollars per metric tonne at 10:30 CST:
Price Change
Canola Mar 732.40 up 2.00
May 710.00 up 9.00
Jul 677.70 up 9.60
Nov 572.10 up 5.00
