|By Phil Franz-Warkentin, Commodity News Service Canada|
|August 10, 2012|
|Winnipeg – ICE Futures Canada canola contracts closed higher on Friday, as updated USDA supply/demand data was seen as bullish for the oilseed markets in general.
In a report released Friday morning the USDA pegged the US soybean crop at about 2.7 billion bushels, which was below trade guesses and well off the previous forecast of 3.05 billion bushels. US and world ending stocks projections were also revised lower, and the tightening world oilseed situation was behind much of the strength in canola, according to participants who said investors were working to ration demand for those tightening stocks.
While looming harvest pressure and expectations for a large Canadian crop did slow the advances in canola, concerns over the size of the canola crop were also starting to gain some traction. The combination of excessive moisture in some parts of western Canada, dryness in others, disease and insects are likely cutting into the overall yield prospects for canola, said an analyst.
About 15,292 canola contracts were traded on Friday, which compares with Thursday when 11,445 contracts changed hands.
Milling wheat futures were untraded, but revised slightly lower after the close. Durum and barley futures were untraded and unchanged.
Settlement prices are in Canadian dollars per metric ton.Price Change
Canola Nov 617.10 up 8.00
Jan 621.50 up 8.70
Mar 622.10 up 7.80
Milling Wheat Oct 303.40 dn 0.40
Dec 309.00 dn 0.40
Durum Oct 309.00 unch
Dec 313.50 unch
Barley Oct 264.50 unch
Dec 269.50 unch
Futures Prices as of May 17, 2013
Prices are in Canadian dollars per metric ton