ICE Canola Mixed In Early Trade

E-CBOT soybeans, European rapeseed and Malaysian palm oil futures were higher overnight but canola was unable to follow suit as uncertainty ahead of this morning’s Statistics Canada stocks report kept a lid on buying interest, market watchers said.

Statistics Canada’s grain and oilseeds stocks in all positions report as of March 31 pegged total Canadian canola stocks at 5.852 million metric tons. Although the number was a record high, the trade said the number is friendly as it was on the low end of pre-report estimates and confirms good export and domestic crush demand.

Traders believe canola could turn higher if Chicago soybeans open 10 to 15 US cents a bushel higher as expected.

Also, the firm tone in outside markets is bullish for North American oilseeds, they said. Crude oil futures were working their way higher as were North American equities.

A slower pace to farmer selling as producers concentrate on getting their crops into the ground will underpin canola prices as well.

However, the surging Canadian dollar will be a limiting factor for the market on Friday, brokers said. In early activity, the Canadian dollar had already gained over 1 US cent to sit above 86 US cents.

As of 9:05 CDT, there were 1,112 contracts traded in canola, a portion of which were spread-related.

Western barley futures, meanwhile, were higher in early activity but volumes were nearly non-existent. Only 1 barley contract had changed hands as of 9:05 CDT.

Prices in Canadian dollars per metric ton at 9:05 CDT