ICE ICE Canola Up On Follow-Through Buying

A trader said the wheat market was pulling all of the other grains and oilseeds higher once again on Friday, as concerns persist about wheat production in Russia and the rest of the Black Sea region. Calls for a higher start in CBOT soybeans were also some underlying support to canola, according to traders.

A lack of farmer selling, as cash basis levels have shown some deterioration over the past week, also helped underpin canola values.

However, a trader cautioned that activity could turn choppy in canola, with profit-taking a possibility on the last trading day of the month ahead of a long weekend. Canadian markets will be closed Monday, August 2, for a civic holiday, while the US markets remain open.

Crop conditions across western Canada are generally said to be improving, which could limit the nearby upside in canola. However, there is also still enough uncertainty regarding new crop production to keep a weather premium in the canola market, according to traders.

The Canadian dollar was trading near unchanged Friday morning, providing little direction for canola.

About 680 canola contracts had traded as of 8:25 CDT.

Western barley futures were untraded and unchanged.

Prices in Canadian dollars per metric ton at 8:25 CDT: