ICE Canola Corrects Higher

By Terryn Shiells, Commodity News Service Canada
July 25, 2012
WINNIPEG – Canola contracts on the ICE  Futures Canada platform were trading at stronger price levels at  10:32 CDT Wednesday, as losses experienced earlier in the week were  seen as overdone and in need of an upward correction, analysts  said.
Canola futures were following the rebound seen in the CBOT  soybean complex, which also saw significant losses in the last two  trading sessions, brokers said.
The CBOT soybean complex posted gains as the US dollar’s value  eased, making the commodity less expensive for non-US buyers.
Strength in other outside oilseed markets, including  European rapeseed and Malaysian palm oil, also fuelled some of the  advances seen in canola.
An increase in commercial buying, as they were attracted by  lower prices on Monday and Tuesday, also helped canola futures move  to the upside, traders said.
However, generally good conditions for the development of  canola in western Canada limited the gains, market watchers said.

An increase in farmer selling, as the harvest of canola has  begun in some areas and as producers make room for new crop in their  bins, also tempered the advances.

As of 10:32 CDT, about 15,900 canola contracts had traded.

Durum, barley and milling wheat were untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:32 CDT:

Price Change
Canola
Nov      618.40 up 11.20                  Jan     621.00   up 12.60                  Mar     622.50   up 13.40 Milling Wheat Oct     334.50     unch                  Dec     342.00     unch Durum Oct     327.00     unch                  Dec     331.50     unch  Barley Oct     264.50     unch                  Dec     269.50     unch

Commodity futures

Futures Prices as of May 17, 2013

Canola Price Change
Nov618.4011.20
Jan621.0012.60
Mar622.5013.40
Milling Wheat Price Change
Oct334.50
Dec342.00
Durum Price Change
Oct327.00
Dec331.50
New Barley Price Change
Oct264.50
Dec269.50

Prices are in Canadian dollars per metric ton

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