By Phil Franz-Warkentin, Commodity News Service Canada
Winnipeg, Oct. 4 (CNS Canada) – ICE Futures Canada canola contracts settled with small gains on Wednesday, after chopping around within a narrow range throughout the session.
Harvest delays in parts of Western Canada remained somewhat supportive, with cool and wet conditions limiting operations in some locations. However, the harvest is about three quarters done Prairie-wide, and ample nearby supplies kept a lid on the market as farmers continue to make steady deliveries into the commercial pipeline.
Chicago Board of Trade soybeans and soyoil were up on the day, which provided some support. Solid end user demand also continued to underpin the market.
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About 16,622 canola contracts traded on Wednesday, which compares with Tuesday when 18,637 contracts changed hands. Spreading accounted for 11,948 of the contracts traded.
Milling wheat, durum, and barley were all untraded, although prices were revised after the close.
Soybeans at the Chicago Board of Trade posted small gains on Wednesday, with supportive chart signals accounting for much of the buying interest as the futures bounced off their nearby lows.
Solid end user demand and expectations for harvest delaying rains in parts of the Midwest over the next week added to the firmer tone.
However, rising US yield projections kept a lid on the upside. Improving moisture conditions in Brazil also put some pressure on the market.
Chinese markets are closed this week for the annual Golden Week holidays, which limited some of the activity in the US grains and oilseeds.
Corn settled with small losses, as the advancing US harvest kept the bias pointed lower.
However, support held to the downside from a chart perspective. The chance of rain in parts of the US Corn Belt over the next week also kept corn rangebound overall.
Wheat was lower on the day, amid a lack of any fresh fundamental news.
While production issues in Australia remained supportive, large Russian crop ideas countered those concerns. US farmers in the southern Plains also continue to make good progress seeding winter wheat.
