ICE Canola Mixed, Could Follow Soybeans Higher

Traders said some of the selling pressure in the lightly traded market was tied to profit-taking following Tuesday’s sharp advances.

While the canola market could see some more profit-taking, any downside could be limited by the calls for a higher start in the CBOT soy complex. A lack of farmer selling could also help keep the bias to the upside in canola.

Ongoing concerns about crop development in western Canada should also remain supportive, according to traders, as the late canola crops will be more vulnerable to frost this fall.

However, North American crop conditions are generally favourable overall, which will temper any weather premiums in canola, traders added.

The Canadian dollar was holding near unchanged levels early Wednesday morning, providing little direction for canola.

About 830 canola contracts had traded as of 8:59 CDT, the bulk of that in the November futures month.

Western barley futures were untraded and unchanged in overnight activity.

Prices in Canadian dollars per metric ton at 8:59 CDT: