ICE Canola Futures Higher On Catch Up Play

Ongoing weather concerns in western Canada, particularly the extreme dryness in Alberta and Saskatchewan were also helping to fuel some of the upward price action in canola, brokers said.

Producers in western Canada also continued to be reluctant sellers of canola into the cash market, especially in view of the uncertainty facing canola production prospects, traders said.

They added that canola crop weather remains only fair, with active showers around at times, but no solid rain coverage, especially out west.

Weakness in the Canadian dollar early Thursday was also expected to help stimulate some minor demand for canola.

The upside in canola, however, was being tempered by the declines seen in e-CBOT soybeans overnight and the losses posted by Malaysian palm oil futures.

The lower calls for CBOT soybean and soyoil futures with the start of the North American day session were also tempering some of the upward price potential in canola.

US grain and livestock markets will observe normal trading hours today ahead of the extended holiday weekend. All US markets and government offices are closed Friday, July 3 for the US Independence Day holiday. Canadian markets will operate normally Thursday and Friday with volumes likely to be severely reduced as a result.

The absence of fresh export demand and declines in global crude oil were seen as undermining price influences for canola, brokers said.

As of 9:44 am EDT, there were 549 canola contracts traded.

Western barley futures were steady to higher with only the nearby October future experiencing any kind of activity. Light commercial demand in the absence of willing sellers allowed the contract to be pushed up, brokers said

Prices in Canadian dollars per metric ton at 9:44 am EDT: