By Terryn Shiells, Commodity News Service Canada
July 26, 2013
WINNIPEG – Canola contracts on the ICE Futures Canada platform were slightly stronger at 10:45 CDT Friday, as the market was stabilizing following recent sharp losses, analysts said.
Oversold price sentiment and the downswing in the value of the Canadian provided some support for canola values.
Some of the strength was also linked to the evening up of positions ahead of the weekend and a slowdown in farmer selling.
The need to keep a weather premium built into the market further underpinned values, as did continued concerns about the tight Canadian canola supply situation.
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However, spill over pressure from the losses seen in Chicago soyoil values weighed on the market, limiting the gains.
Reports of generally favourable weather conditions for canola crops across western Canada were also bearish.
The technical bias remains pointed the downside, which was also an undermining price influence for canola.
Activity was described as light and choppy on Friday. As of 10:45 CDT, about 8,670 canola contracts had traded.
Milling wheat, barley and durum futures were untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:45 CDT:
