By Glen Hallick, MarketsFarm

WINNIPEG, March 2 (MarketsFarm) – Intercontinental Exchange (ICE) Futures canola contracts were pushing higher at midday Tuesday, following a “snap-back in the United States markets,” according to a Winnipeg-based trader.

In a turn-around Tuesday at the Chicago Board of Trade (CBOT), the soy complex was stronger with additional support for canola coming from European rapeseed. Declines in Malaysian palm oil tempered those gains.

Also posing a threat to higher canola prices was the Canadian dollar, which returned above 79 U.S. cents after recently slipping back. At midday, the loonie climbed to 79.20 U.S. cents after closing on Monday at 78.98.

The trader noted attention has been turning towards the weather forecast for the Prairies, with a stretch of above normal temperatures on the way. Those higher temperatures will add to issues with a thin snow cover across much of the region coupled with low soil moisture levels.

Tightening ending stocks continued to be a concern, further underpinning canola values.

Approximately 8,100 canola contracts were traded as of 10:34 CST.

Prices in Canadian dollars per metric tonne at 10:34 CST:

Price Change
Canola May 748.10 up 8.70
Jul 713.60 up 8.30
Nov 603.60 up 7.60
Jan 605.30 up 6.50