ICE canola holding onto small gains, well off highs

By Phil Franz-Warkentin

Glacier FarmMedia | MarketsFarm – The ICE Futures canola market was posting small gains in the most active months at midday Wednesday, although activity was choppy and values were well off their session highs.

The November contract traded just shy of C$620 per tonne earlier in the session, but farmer selling came forward near that psychological level and the contract was at C$611.20 by 10:46 CDT.

An overnight rally to contract highs in Malaysian palm oil lent support to the world vegetable oil markets, with the escalating conflict in the Middle East also bringing more buying interest into the agricultural commodities, according to a trader. Chicago soyoil futures were also higher at midday, although soybeans were lower.

The Canadian dollar was trading near unchanged at midsession.

An estimated 36,800 canola contracts traded as of 10:46 CDT.

Prices in Canadian dollars per metric tonne at 10:46 CDT:

Canola            Nov   611.10    up  0.30

Jan   624.50    up  0.50

Mar   635.50    up  0.50

May   643.40    up  0.60