By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, June 2 (MarketsFarm) – The ICE Futures canola market was posting small gains Thursday morning. Follow-through selling after Wednesday’s losses had weighed on the market in overnight activity before some support was uncovered to the downside.
The old crop July contract dropped below its 20-day moving average on Wednesday and fell below the 50-day average overnight before recovering above unchanged. New crop November also traded below its 50-day moving average overnight but activity in outside markets helped pull it higher.
European rapeseed futures were lower on the day, accounting for some spillover selling in canola. However, Chicago soyoil and Malaysian palm oil futures were both stronger.
Ongoing uncertainty over new crop production also provided support, as spring seeding remains delayed across the eastern Prairies.
About 6,900 canola contracts had traded as of 8:46 CDT.
Prices in Canadian dollars per metric ton at 8:46 CDT:
Canola Jul 1,153.70 up 0.40
Nov 1,057.00 up 2.20
Jan 1,060.10 up 2.00
Mar 1,063.10 up 5.00
