ICE Canola Up Following Soybeans, Lack Of Farmer Selling

The combination of a weaker Canadian dollar and gains in CBOT soyoil was helping canola crush margins improve, and domestic crushers were showing some good demand given the favorable margins, said a Winnipeg-based trader.

He added that farmer selling has dried up before Christmas, providing some further support to the canola market. "Farmers are generally bullish and if they haven’t sold by now, they will wait until the New Year," he said.

While some speculative profit taking was coming forward to temper the upside, the trader said the large fund traders were generally comfortable with their positions. He added that that there were no technical signals currently pointing towards the need for a correction lower.

At 10:40 CST, about 10,000 canola contracts had changed hands, with spreading a feature as participants were rolling out of the nearby January contract.

Western barley futures were untraded and unchanged at midsession.

Prices in Canadian dollars per metric ton at 10:40 CST: 

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