By Marlo Glass, MarketsFarm
WINNIPEG, June 18 (MarketsFarm) – The ICE Futures canola market was on either side of steady at midday Tuesday.
Strong U.S. soybean prices, buoyed by near-contant rain and continually delayed planting, pulled canola prices up moderately.
Rains forecasted for the Prairies in days to come capped further gains in the canola market.
“Markets have taken that weather premium out a bit, as we have showers and rain forecast across most of the prairies,” explained one Winnipeg-based trader.
However, record-level reseeding acres and struggles with pests were supportive of canola prices.
The trader believed markets were in somewhat of a holding pattern until crop development was further along.
“If things follow their usual path, we’ll be in July with some reasonably good-looking crops,” they said.
“Markets may be a bit less nervous and drift back down a bit.”
About 29,000 canola contracts traded as of 11:00 CDT.
Prices in Canadian dollars per metric tonne at 11:00 CDT:
Canola Jul 459.70 up 0.10
Nov 475.40 unchanged
Jan 481.70 dn 0.60
Mar 488.10 dn 0.20