ICE Canola Strengthens On Weak C$, Follow-Through Buying

Follow-through buying from Tuesday’s firmer close was providing some support for canola, according to traders who noted that the buying was likely based on oversold price sentiments.

A weaker tone in the Canadian dollar, which was down sharply compared to its US counterpart, also helped underpin canola values.

Steady exporter demand, combined with a slow-down in farmer selling, provided further support for the market. European rapeseed futures were also firmer in overnight activity.

However, calls for a lower start in the CBOT soy complex were seen limiting the upside in canola. Malaysian palm oil futures also posted declines overnight.

Favourable South American crop conditions, large global oilseed supplies, and a bearish technical bias in canola, also served to keep the advances in check.

Roughly 570 canola contracts had traded by 8:45 CST.

Western barley futures were unchanged and untraded in overnight activity.

Prices in Canadian dollars per metric ton at 8:45 CST: 

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