ICE Canola Edges Lower In Thin Trade

A trader described the activity in canola as "skinny" with not much interest on either side of the market. He noted that while soybeans were lower, soyoil was higher, leading to some mixed trade in canola. A move higher in crude oil was also helping limit the declines.

Another trader said most of the weather concerns that helped pull canola values higher in recent weeks have now been priced into the market. With conditions now turning a little more favorable for crop development he said it will take some fresh fundamental news to resume the rally.

Farmer selling was said to be picking up in western Canada, which should put some pressure on canola values. However, a trader said farmer hedges were not finding their way into the futures market on Tuesday, keeping prices relatively range-bound.

The Canadian dollar was chopping around both sides of unchanged on Tuesday, providing little direction for canola, according to a trader.

At 10:25 CDT, about 3,200 canola contracts had changed hands.

Western barley futures were untraded and unchanged.

Prices in Canadian dollars per metric ton at 10:25 CDT: