By Terryn Shiells, Commodity News Service Canada
December 20, 2013
WINNIPEG – ICE Futures Canada Canola contracts posted small gains on Friday, with short covering ahead of the weekend and the New Year providing some support, analysts said.
Some of the strength was also linked to spillover support from the gains seen in Chicago soybeans and soyoil.
Sentiment that the market is oversold and ideas that canola is more attractively priced than some other oilseeds added to the bullish tone.
However, canola only posted small gains as a pickup in farmer selling at the highs weighed on the market, brokers said.
The large Canadian crop continued to overhang canola prices, as did logistical problems and expectations of bigger carryout stocks of the commodity.
About 30,753 canola contracts were traded on Friday, which compares with Thursday when 35,683 contracts changed hands. Spreading accounted for 27,484 of the trades.
Milling wheat, durum and barley prices were untraded following price revisions after the close on Thursday.
Settlement prices are in Canadian dollars per metric ton.
