ICE Canola Falls With US Soy

Canola activity was only moderate with intermonth spreading by commodity funds and commercials accounting for much of the volume.
Traders felt that the upcoming Friday’s Statistics Canada acreage report had little impact on the market.

The total canola volume was estimated at 10,165 contracts, down from Friday’s 21,726 contracts, including an estimated 6,276 contracts involved in the spread trade.

Canola was lower in the overnight market reflecting the losses in crude oil and international oilseed prices. Canola continued to see small declines as the North American trading session got underway and the CBOT soy complex dropped sharply. Canola ended the session with only small losses.

Canola was undermined by ideas the market was overbought after last week’s run up in prices.
However keeping the decline small was the big losses in the Canadian dollar and a slow pace to farmer selling as cash dealers indicated that all farmers who wanted C$9.50/bu sold during last week’s rally.

The strong export lineup for canola at the west coast of Canada also helped to underpin old crop prices.

Crusher scale down pricing supplied the best buying interest with routine exporter buying also noted. The selling was mainly commercial with only light elevator company selling evident.

Western barley posted losses in light commercial trade with intermonth spreading accounting for much of the volume. The drop in CBOT corn prices and a soft tone in the Alberta cash market undermined values, brokers said. Ideas that feed lots are now covered until early June contributed to the decline.

The total barley volume was estimated at 216 contracts, up from only 3 contracts on Friday, including an estimated 200 contracts involved in the spread trade.

Prices are in Canadian dollars per metric ton: