Source: Canadian Cattlemen
By Phil Franz-Warkentin, MarketsFarm
WINNIPEG, March 24 (MarketsFarm) – The ICE Futures canola market was mixed at midday Wednesday, with gains in the old crop months and losses in the more deferred positions.
A number of rumours circulating the market led to volatile activity, with unconfirmed talk that a couple of Canadian crushers with facilities in Quebec had purchased canola from Ukraine to import and process in Canada.
A Winnipeg-based trader questioned if the logistics of importing Ukrainian canola, given phytosanitary regulations, but thought such a move would be bearish if true as it would be a sign that Canadian canola from the Prairies was too expensive.
China was also believed to have cancelled some previous business.
On the other side, gains in Chicago Board of Trade soyoil provided support for canola. The need to buy acres this spring also underpinned the market, despite the losses in the new crop months, as most other crops also pencil out favourably for farmers.
About 11,800 canola contracts traded as of 10:45 CDT.
Prices in Canadian dollars per metric tonne at 10:45 CDT:
Canola May 787.70 up 4.90
Jul 737.20 up 5.90
Nov 613.10 dn 2.10
Jan 615.90 dn 2.40