ICE Canola Climbs Up On Weak C$, CBOT Gains

The rolling of positions out of the nearby March future and into the May contract was again a feature of the activit6y in canola.

Canola futures had moved lower early undermined by the weaker calls for CBOT soybean and soyoil values and on sentiment that the gains seen on Monday were overdone and that a downward correction was needed, brokers said.

Some light hedge offers on the open and commercial liquidation helped to weigh on canola early. Large on farm canola supplies in western Canada and the large global oilseed situation were also undermining price influences.

However, at the lows for the day, canola began to find good demand. Some of the buying came from domestic crushers as well as from participants who were buying back previously sold positions, traders said. Routine pricing of old export business was supportive as well.

CBOT soybean futures also starting experiencing an upturn in values shortly after the opening and as the gains were extended the advances in canola also began to improve, brokers said. The move by CBOT soyoil off its lows for the day also was viewed as supportive for canola.

Exporters confirmed that two cargoes of Canadian canola were sold to Pakistan late last week for an unspecified delivery date. Price details were not available.

There were an estimated 16.366 canola contracts traded at 11:14 CST. Of the contracts traded, 10,930 consisted of spreads.

There were 20 western barley futures traded as of 11:14 CST. Light commercial demand amid a lack of sellers let some contracts move higher, brokers said.