By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, Feb. 22 (MarketsFarm) – The ICE Futures canola market was holding onto small gains at midday Wednesday, recovering from overnight losses as a turn higher in Chicago soyoil provided support.
Supportive technical signals and a resulting influx of speculative short covering and new fund buying contributed to the gains, according to a trader.
He added that a general lack of significant selling pressure on the other side was also underpinning values.
While soyoil was higher, Chicago soybeans and meal were both lower which tempered the upside potential in canola to some extent. European rapeseed futures were also lower on the day.
About 19,000 canola contracts traded as of 10:45 CST.
Prices in Canadian dollars per metric tonne at 10:45 CST:
Canola Mar 842.60 up 4.10
May 834.30 up 2.40
Jul 832.90 up 2.70
Nov 812.00 up 0.70
