ICE Canola Futures Climb On Outside Oilseeds

Winnipeg – Canola contracts on the ICE Futures Canada platform were trading at steady to higher price levels at 9:23 EDT. Much of the strength in canola was encouraged by the advances overnight in the outside oilseed markets, industry watchers said.

Gains were seen in e-CBOT soybean futures overnight while new contract highs were established in European rapeseed futures. Malaysian palm oil futures were mostly steady.

The higher calls for CBOT soybean and soyoil futures with the start of the North American day session were also helping to bolster canola values, brokers said.

Steady demand from the domestic processing sector was providing a firm floor for canola futures as was the pricing of old export business, traders said.

The level of farmer deliveries into the country elevator system remain slow, which was contributing to the strength in the market, brokers said.

The upside in canola was being restricted by continued ideas that the crop in western Canada was larger than anticipated. Continued firmness in the value of the Canadian dollar was also an undermining price influence. The absence of fresh, confirmed export demand for canola also was an undermining price influence, brokers said.

The unloading of November positions was also an ongoing feature in the canola market, brokers said.

As of 9:23 EDT, there were 867 canola contracts traded.

As of 9:23 EDT, no western barley contracts had been traded.