ICE Canada canola futures were mostly higher Wednesday morning, seeing some follow-through buying on Tuesday’s firmer close.
Calls for a higher start to the North American session for the CBOT soy complex provided some spill-over support for canola, according to traders. Malaysian palm oil was also stronger in overnight trade, setting fresh contract highs.
Exporter and domestic crusher demand were features in the canola trade. Speculators were also on the buy side, as the market tested fresh highs before running into some resistance.
Light scale-up farmer selling tempered the advances in canola, according to traders. Small amounts of profit-taking was also expected to come forward as participants square their positions ahead of the Statistics Canada stocks report to be released on Friday.
Continued strength in the Canadian dollar, after it rallied sharply relative to its U.S. counterpart on Thursday, was also keeping the canola gains in check.
About 1,300 canola contracts had traded as of 8:31 a.m. CST.
Western barley futures were untraded and unchanged Wednesday morning.
Prices in Canadian dollars per tonne at 8:31 CST:
Mar 611.40 up 2.40
May 618.00 up 0.30
Nov 582.00 up 0.70
Mar 194.00 unch
May 200.00 unch