By Glen Hallick, MarketsFarm
WINNIPEG, April 15 (MarketsFarm) – ICE Futures canola contracts were steady in early trade Monday morning, with little to provide direction either way.
The May canola contract was up 70 cents to C$457.00 per tonne and the July contract gained 40 cents to C$465.00 per tonne.
Traders’ attention has been focused on spring planting, which provided some support as well as and a farmer reluctance to sell. The technical bias shifted to the upside.
On the Chicago Board of Trade, soybeans were up nearly five cents per bushel for the May contract, providing some spillover to canola. There has been some optimism on the United States markets of more progress coming out of trade talks with China.
The continuing Canada/China dispute, a large South American soybean harvest, U.S. farmers very likely switching from corn to planting soybeans have weighed on values. Added to that has been expectations of Australia’s canola production leaping by a 40 per cent increase to 3.7 million tonnes this year.
The Canadian dollar on Monday morning moved back above 75 U.S. cents.
About 4,600 canola contracts had traded as of 8:33 CDT.
Prices in Canadian dollars per metric ton at 8:33 CDT:
Canola May 457.00 up 0.70
Jul 465.00 up 0.40
Nov 475.10 up 0.10
Jan 481.50 unchanged