ICE Canola Continues Upward Bias

Strong overnight gains in e-CBOT soybeans and soyoil, as well as from Malaysian palm oil and European rapeseed helped send canola values higher, analysts said.

Expectations for tightening supplies have kept exporter and domestic processor pricing in the canola market, brokers said.

Market watchers said producer selling has been limited, as most farmers have moved to the sidelines in expectations that prices will still go higher. Cold temperatures across western Canada over the past couple days have also tempered selling.

Gains were limited by ever improving soy crop conditions in Argentina, thanks to recent rainfall, brokers said.

The Canadian dollar was about a tenth of a cent stronger in early trade, which also tempered advances made by canola.

At 08:30 CST, there had been about 2,500 canola contracts traded.

Western barley futures were unchanged and untraded early Wednesday. On Tuesday, the May contract moved C$6/bushel higher although no contracts were traded. The advances were a result of revisions made by ICE Futures Canada at the close.

Prices in Canadian dollars per metric ton at 08:35 CST: