ICE Canola Up On Spec Buying

A Winnipeg-based broker said canola was generally following soybeans higher, although lagging their US counterpart slightly. He said fund participants were the noted buyers on both sides of the border as they position themselves ahead of the reports on Wednesday.

A weaker tone in the Canadian dollar provided some further support for canola, helping crush margins see some improvement. A lack of farmer selling underpinned canola as well. The broker said that while there were some target orders coming forward as prices moved higher, most producers were on the sidelines for the time being.

Gains in the outside crude oil market and European rapeseed futures, provided further support.

Good rains in Argentina over the weekend helped improve crop conditions there, tempering the upside in the oilseed markets, according to the broker.

Some uncertainty that the gains may be overdone ahead of the USDA data also served to limit the upside.

At 10:45 CST, about 7,000 canola contracts had changed hands with spreading a small feature.

Western barley futures were untraded and unchanged at midsession.

Prices in Canadian dollars per metric ton at 10:45 CST: