By Phil Franz-Warkentin
Glacier FarmMedia | MarketsFarm — The ICE Futures canola market was stronger at midday Thursday, nearing chart resistance and taking back most of Wednesday’s losses.
The temporary pause on tariff threats from the United States announced earlier in the week remained supportive, with canola gaining ground relative to the U.S. soy complex on Thursday. Chicago soybeans and soyoil were both holding closer to unchanged at midday, while soymeal was lower.
Gains in European rapeseed and Malaysian palm oil contributed to the firmer tone in canola.
“Canola is holding up well,” said an analyst noting that without the uncertainty of U.S. trade policy the futures could likely trade C$20 to C$30 per tonne higher.
An estimated 33,900 canola contracts traded as of 10:36 CST. Intermonth spreading was a feature of the trade, accounting for roughly half of the volumes as participants were rolling their positions out of the front month.
Prices in Canadian dollars per metric tonne at 10:36 CST:
Canola Mar 647.40 up 7.00
May 654.50 up 6.10
Jul 659.10 up 6.10
Nov 641.10 up 4.20
