By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Feb. 10 (MarketsFarm) – The ICE Futures canola market was posting solid gains Thursday morning, hitting fresh contract highs in many months as a rally in the Chicago Board of Trade soy complex provided spillover support.
Declining crop projections out of South America accounted for much of the early strength in soybeans that spilled into canola. Speculative buying was also supportive, as fund traders remain heavily on the long side of the market.
Tight old crop supplies added to the firmer tone, although the new crop contracts lagged to the upside amid expectations for increased seeded area this spring.
About 9,300 canola contracts had traded as of 8:40 CST.
Prices in Canadian dollars per metric ton at 8:40 CST:
Price Change
Canola Mar 1,038.90 up 12.30
May 1,023.10 up 9.60
Jul 994.00 up 9.10
Nov 851.40 up 5.40
