|By Phil Franz-Warkentin, Commodity News Service Canada|
|August 10, 2012|
|Winnipeg – Canola contracts on the ICE Futures Canada platform were sharply higher at 11:03 CDT Friday, taking their cue from a bullish USDA production report and resulting gains in the CBOT soy complex.
The USDA pegged the country’s soybean crop at 2.692 billion bushels, which was below trade guesses and well off the previous forecast of 3.050 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 traders.
While looming harvest pressure and expectations for a large Canadian crop did slow the advances in canola, an analyst said concerns over the size of the canola crop were also starting to gain some traction. He said the combination of excessive moisture in some parts of western Canada, dryness in others, disease and insects were cutting into the overall yield prospects for canola.
The Canadian dollar was holding near unchanged at midsession, providing little direction for canola.
At 11:03 CDT, about 9,000 canola contracts had changed hands, with inter-month spreading only a minor feature.
Milling wheat, durum, and barley futures were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 11:03 CDT:Price Change
Canola Nov 618.30 up 9.20
Jan 622.40 up 9.60
Mar 622.90 up 8.60
Milling Wheat Oct 303.80 unch
Dec 309.40 unch
Durum Oct 309.00 unch
Dec 313.50 unch
Barley Oct 264.50 unch
Dec 269.50 unch
Futures Prices as of May 24, 2013
Prices are in Canadian dollars per metric ton