By Jade Markus, Commodity News Service Canada
WINNIPEG, May 5 – ICE Canada canola contracts were stronger in early activity on Thursday, supported by gains in Chicago Board of Trade soybeans and soy oil.
CBOT soy contracts were moving higher Thursday morning with stronger export sales, which provided spill over support to canola.
Commercial buying is still strong, market watchers say, which was another bullish feature.
Concerns about hot, dry weather in Western Canada added to the advances.
However, strength in the Canadian dollar limited advances by making canola less appealing to foreign buyers.
Malaysian palm oil closed mixed overnight, which further capped gains.
Analysts say canola could be vulnerable to profit-taking, which could pressure prices throughout the day.
About 826 canola contracts had traded as of 8:23 CDT.
Milling wheat, durum, and barley futures were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 8:23 CDT:
