|By Phil Franz-Warkentin, Commodity News Service Canada|
|April 23, 2012|
|Winnipeg – Canola contracts on the ICE Futures Canada platform were stronger at 10:49 CDT Monday, finding some independent strength despite the softer tone in the CBOT soy complex.With a lack of any new fundamental news to account for the buying interest, market participants were unsure why canola was climbing to the extent it was. Speculators adjusting positions ahead of the April 24 Statistics Canada acreage report were the most likely candidates.
“There’s no reason why canola should be up . . . it may be someone playing around ahead of the acreage report,” said a broker. While exporter and domestic crusher demand was also underpinning the market, there were no fresh sales to report on Monday and he said declining crush margins were limiting some of the processor demand.
Losses in the CBOT soy complex were limiting the upside in canola, and traders expected canola would eventually back away from its gains by the close.
Relatively favourable weather conditions across western Canada, and the expectations for a large canola crop were also overhanging the market.
At 10:49 CDT, about 10,000 canola contracts had changed hands, with inter-month spreading accounting for about 6,000 of the contracts traded.
Milling wheat, durum, and barley futures were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:49 CDT:
Canola May 626.60 up 4.40
Jul 621.50 up 5.30
Nov 580.00 up 3.50
Western Barley May 235.00 unch
Jul 235.00 unch
Milling Wheat Oct 257.00 unch
Dec 262.00 unch
Durum Oct 277.50 unch
Dec 282.00 unch
Barley Oct 186.50 unch
Dec 190.00 unch
Futures Prices as of May 22, 2013
Prices are in Canadian dollars per metric ton