By Terryn Shiells, Commodity News Service Canada
February 27, 2013
WINNIPEG – Canola contracts on the ICE Futures Canada platform were trading at firmer price levels at 10:40 CST Wednesday, as increased commercial buying lifted values, analysts said.
Ideas that recent declines were overdone and the market was in need of an upward correction also pushed values to the plus side.
Weakness in the value of the Canadian dollar helped to underpin canola prices as well, as it made the commodity more attractive to foreign buyers.
However, declines seen in outside oilseeds, including CBOT soyoil, put some downward pressure on values, limiting the advances. Spreading accounted for the weakness in soyoil, as traders were buying soymeal and selling soyoil.
Expectations that South America will produce a record large soybean crop were also responsible for some of the downward price slide.
As of 10:40 CST Wednesday, about 10,120 canola contracts had traded. Spreading was a feature of the trade, and helped to augment the volume total.
Milling wheat, barley and durum were untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:40 CST:
Futures Prices as of May 17, 2013
Prices are in Canadian dollars per metric ton