By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, Jan. 25 (CNS Canada) – ICE Futures Canada canola contracts were holding onto small gains Thursday morning, although activity was thin and choppy.
Gains in the Chicago Board of Trade soy complex provided some underlying support amid persistent South American weather concerns. Solid end-user demand and a lack of significant farmer selling pressure contributed to the gains.
However, recent strength in the Canadian dollar tempered the upside as the currency reacted to broad-based weakness in the U.S. dollar.
Ample old crop supplies and expectations for an increase in Canadian canola acres this spring were also overhanging the market.
About 3,500 canola contracts had traded as of 8:59 CST.
