ICE Canola Higher On Export Pricing, Short-Covering

"There’s some export business being done somewhere other than China," said a canola broker. While business to China is still up in the air, due to new phytosanitary requirements from the country, traders thought the recent decline in canola prices has made the commodity more attractive to other customers, such as Japan or Mexico.

Commodity fund short covering was also providing some underlying support for canola, according to the broker, as were improved crush margins.

Ongoing harvest delays for the last of the canola crop in western Canada also remained a supportive price influence.

Commission houses and line companies were noted sellers, according to the broker, tempering the upside.

A mixed tone in the CBOT soy complex also limited the gains in canola.

At 11:01 CDT, about 7,600 canola contracts had changed hands. The Nov/Jan spread was a feature of the trade, accounting for nearly half of the contracts traded as participants roll out of the nearby month.

Western barley futures were untraded and unchanged at midsession.

Prices in Canadian dollars per metric ton at 11:01 CDT: