By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, June 27 (MarketsFarm) – The ICE Futures canola market was stronger Monday morning, seeing a continuation of Friday’s recovery off nearby lows to start the week.
Gains in Chicago soyoil and Malaysian palm oil provided spillover support for the Canadian oilseed, although European rapeseed futures were weaker.
Last week’s selloff saw canola seed outpace the product values to the downside, causing crush margins to improve substantially. As a result, increased demand from domestic processors was likely contributing to the early strength in the futures.
However, a lack of significant weather concerns across the Prairies tempered the upside with all but a few areas seeing sufficient moisture and warm temperatures for the time being.
About 5,100 canola contracts had traded as of 8:35 CDT.
Prices in Canadian dollars per metric ton at 8:35 CDT:
Canola Jul 887.50 up 5.00
Nov 877.40 up 7.20
Jan 883.60 up 7.40
Mar 893.60 up 11.80
