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ICE Canola Up, But Lagging Soybeans

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Published: November 29, 2013

By Phil Franz-Warkentin, Commodity News Service Canada

November 29, 2013

Winnipeg – Canola contracts on the ICE Futures Canada platform were stronger at 10:49 CST Friday, taking some direction from the rally in CBOT soybeans.

Better-than-expected weekly export demand pulled the US soy complex higher, which led to some spillover buying interest in canola, said a broker.

However, canola lagged soybeans to the upside as the Canadian market was lacking any fresh news of its own. Uncertainty over the sustainability of the US gains was also keeping potential canola buyers on the sidelines, according to a broker. The US markets will close early on Friday, while canola will continue to trade until its normal closing time.

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Canada’s record large canola crop and logistical issues moving those supplies remained bearish for canola prices, according to participants. The relatively favourable crop prospects for soybeans in South America were also overhanging the oilseed markets in general.

The Canadian dollar was holding steady on Friday, providing little direction for canola.

About 10,000 canola contracts had traded as of 10:49 CST.

Milling wheat, durum, and barley futures were untraded on Friday.

Prices in Canadian dollars per metric ton at 10:49 CST:

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