By Terryn Shiells, Commodity News Service Canada
September 11, 2013
WINNIPEG – ICE Futures Canada canola contracts closed little changed on Wednesday as traders were being cautious ahead of Thursday’s USDA crop production report, which is set to be released at 11:00 CDT.
Traders generally expect the USDA to lower US soybean yields and production due to recent unfavourable weather across the US Corn Belt.
A pickup in commercial buying ahead of Thursday’s report, as canola is more attractively priced than some other oilseeds, was bullish.
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Slow farmer selling, the need to keep a weather premium built into prices also underpinned values.
Some spillover support also came from the small advances seen in Chicago soybeans.
However, harvest pressure and expectations that the Canadian canola crop will be record large were bearish.
The upswing in the value of the Canadian dollar also weighed on prices, as it made canola less attractive to international customers.
About 24,228 canola contracts were traded on Wednesday, which compares with Tuesday when 24,670 contracts changed hands.
Barley, milling wheat and durum prices were untraded and unchanged following price revisions after the close on Tuesday.
Settlement prices are in Canadian dollars per metric ton.
