By Dwayne Klassen, Commodity News Service Canada

Winnipeg – September 10/12 – CNS – Canola contracts on the ICE Futures Canada platform were trading at slightly firmer price levels at 10:38 CDT Monday morning. Some light commercial demand, worries about yields and the gains in CBOT soyoil futures provided most of the price strength displayed by canola, market watchers said.

Much of the commercial demand was believed to be the pricing of old export business as well as the covering of some domestic crusher needs, brokers said.

The advancing harvest operations in western Canada, with operations in Saskatchewan and Alberta now roughly 50% complete tempered the upside. However, continued indications that yields were falling well below average helped to generate some support, traders said.

Some of the activity seen in canola consisted of positioning ahead of Wednesday’s release of new supply/demand tables from the USDA.

The upside in canola was also being tempered by the continued strength of the Canadian dollar and by light chart-based speculative liquidation orders. Weakness in CBOT soybean futures also restricted the upside in canola.

Spreading was a minor feature of the activity seen in canola.

As of 10:38 CDT, about 2,243 canola contracts had traded.

There were 4 milling wheat contracts traded at lower levels with commercials the noted participants.

Durum and barley were untraded and unchanged.

Prices in Canadian dollars per metric ton at 10:38 CDT: