ICE Canada Morning Comment: Canola looking for traction
Mixed support from comparable oils
By Glen Hallick
Glacier Farm Media | MarketsFarm – Intercontinental Exchange canola futures were narrowly mixed on Tuesday morning following the lead of comparable oils.
Support for canola came from gains in Chicago soybeans and soyoil. However, declines in Malaysian palm oil, European rapeseed and Chicago soymeal kept a lid on further increases in canola. Slight upticks in crude oil spilled over into the vegetable oils.
Tight old crop supplies and concerns over the forthcoming crop underpinned canola values.
The more active November contract remained above its major moving averages.
Canola crush margins stepped back, with the November positions slipping to a range of C$88 to C$95 per tonne above the futures.
The Canadian dollar was unchanged on Tuesday morning, with the loonie at 73.08 U.S. cents.
Approximately 8,200 contracts were traded by 8:36 CDT and prices in Canadian dollars per metric tonne were:
Price Change Canola Jul 710.80 up 0.80 Nov 692.70 dn 1.20 Jan 699.70 dn 1.00 Mar 704.80 dn 1.30
