By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, July 29 (MarketsFarm) – The ICE Futures canola market was stronger at midday Wednesday, as solid demand from both end users and fund traders provided support.
Commercial buyers covering sales to Europe accounted for some of the strength, according to a broker. Fund traders adding to long positions were also on the buy side of the market, with chart signals pointing higher as canola traded at fresh six-month highs.
Overnight gains in Malaysian palm oil and a firmer tone in Chicago Board of Trade soyoil also underpinned canola.
However, soybeans were down in Chicago, while the Canadian dollar was holding relatively steady.
Generally favourable Canadian crop conditions kept a lid on the upside, with the harvest only a few weeks away.
About 9,000 canola contracts traded as of 10:41 CDT.
Prices in Canadian dollars per metric tonne at 10:41 CDT:
Price Change
Canola Nov 489.70 up 2.10
Jan 496.50 up 2.00
Mar 500.90 up 1.70
May 503.50 up 1.50
