|By Phil Franz-Warkentin, Commodity News Service Canada|
|April 10, 2012|
|Winnipeg – ICE Canada canola futures were stronger Tuesday morning, as solid commercial demand and calls for a higher start to the North American session for CBOT soybeans provided support.Updated supply/demand tables released by the USDA Tuesday morning were seen as friendly for soybeans, confirming expected declines in both US and global ending stocks. The USDA also revised its South American soybean production estimates lower, which was supportive for the oilseeds in general – including canola.
A weaker tone in the Canadian dollar was also supportive for canola, as the softer currency helps crush margins improve and should make exports more attractive, said traders.
Expectations for record large canola plantings in western Canada this spring did slow the upward move. While parts of the Canadian Prairies are still on the dry side, the moisture situation is generally improving which should bode well for production, said participants.
Overbought price sentiment was also said to be slowing the upward move in canola.
About 2,300 canola contracts had traded as of 8:46 CDT.
Milling wheat, durum, and barley futures were all untraded and unchanged Tuesday morning.
Prices in Canadian dollars per metric ton at 8:46 CDT:
Canola May 625.10 up 2.00
Jul 622.20 up 2.80
Nov 586.00 up 2.70
Western Barley May 230.00 unch
Jul 230.00 unch
Milling Wheat Oct 272.00 unch
Dec 277.00 unch
Durum Oct 277.50 unch
Dec 282.00 unch
Barley Oct 186.50 unch
Dec 190.00 unch
Futures Prices as of December 6, 2013
Prices are in Canadian dollars per metric ton