By Dwayne Klassen, Commodity News Service Canada

Winnipeg – Canola contracts on the ICE Futures Canada platform were trading at mostly firmer price levels at 09:31 EDT Wednesday morning. Some of the strength was linked to Sentiment that canola was in need of an upward correction after a couple of sessions of declines, market watchers said.

Firmness in CBOT soybean and soyoil futures early Wednesday also contributed to some of the upward price action. The tight US and world soybean supply situation was also providing some underlying support for canola, brokers said.

The buying back of previously sold positions was evident and helped to generate some support for canola.

Minor commercial demand, said to be pricing old export business also added to the friendly pr4ice tone, traders said.

The upside in canola was restricted by the advancing harvest operations in western Canada and increased farmer deliveries of new crop canola off the combine, brokers said.

The continued strength in the value of the Canadian dollar early Wednesday also was offsetting the price gains in canola.

Losses overnight in European rapeseed futures, with Malaysian palm oil at contract lows, also limited the upside price potential.

As of 9:31 EDT, there were 1,651 canola contracts traded.

As of 9:31 EDT, there were no milling wheat, durum or barley contracts traded.

Prices in Canadian dollars per metric ton at 9:31 EDT: