By Phil Franz-Warkentin, Commodity News Service Canada
May 16, 2013
Winnipeg – ICE Futures Canada canola contracts were mixed at Thursday’s close, as the most-active July contract tested the upper edge of its recent trading range before backing away to consolidate below unchanged.
Gains in the CBOT soy complex provided underlying support for canola during the session, according to participants. The July contract saw a continuation of its recent uptrend, but failed to hold onto those gains as the buying backed away and some selling came forward.
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Farmers are busy with spring seeding across western Canada, and the lack of producer deliveries was seen as yet another supportive influence. However, while forecasted rains are expected to cause some planting delays over the weekend, the rapid pace of seeding over the past week should reduce some of the concerns that had built up over new crop production, said a broker.
In addition to the profit-taking at the highs, a slow-down in end user demand also put some pressure on canola.
About 13,345 canola contracts were traded on Thursday, which compares with Wednesday when 14,170 contracts changed hands.
Milling wheat, durum and barley futures were untraded and unchanged on Thursday.
Settlement prices are in Canadian dollars per metric ton.
