By Marlo Glass, MarketsFarm
WINNIPEG, Dec. 18 (MarketsFarm) – ICE Futures canola contracts were stronger at midday Friday. Canola prices are expected to hit chart resistance at C$620 per tonne.
The Canadian Grain Commission reported canola deliveries for the week ended Dec. 13 totalled 541,200 tonnes, for an increase of 13.6 per cent over the previous week. Canola exports were 308,600 tonnes, up 22 per cent on the week. Domestic usage was 229,900 tonnes, rising 18.2 per cent. Canola prices will likely continue to rise in order to ration demand.
Strength in Chicago soyoil has been supportive of gains in the canola market, as nearby contract hit highs of 40 United States cents per pound.
Gains in the Canadian dollar kept a lid on further gains for canola. The dollar was around 78.5 U.S. cents at midday.
Approximately 16,000 canola contracts were traded as of 10:45 CST.
Prices in Canadian dollars per metric tonne at 10:45 CST:
Price Change
Canola Jan 618.30 up 3.10
Mar 612.40 up 3.90
May 601.20 up 2.70
Jul 586.30 up 1.90
