By Phil Franz-Warkentin, Commodity News Service Canada
April 23, 2015
Winnipeg – Canola contracts on the ICE Futures Canada platform were stronger at midday Thursday, as the market reacted to gains in the CBOT soy complex and the Statistics Canada acreage report.
Canadian farmers intend to plant 19.4 million acres of canola this year, according to StatsCan data released this morning. That would be in line with trade estimates, but nearly a million acres below the 20.3 million seeded in 2014. Given average yields, canola supplies could be tight by the end of the marketing year, according to participants.
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While the StatsCan number was somewhat supportive, traders said canola was generating more strength on the back of the rising CBOT soy market.
On the other side, the Canadian dollar was sharply stronger relative to its US counterpart which put some pressure on canola.
About 13,000 canola contracts had traded as of 10:44 CDT. Intermonth spreading was a feature as participants continued to roll their positions out of the nearby May contract.
Milling wheat, durum, and barley were all untraded.
Prices in Canadian dollars per metric ton at 10:44 CDT:
