By Dave Sims, Commodity News Service Canada
Winnipeg, January 24 (CNS Canada) – The ICE Futures Canada canola complex recorded mild losses on Wednesday, as strength in the Canadian currency weighed down the market.
The Canadian dollar was around half a cent higher relative to its United States counterpart, which made canola less attractive to international buyers.
Canola remains expensive relative to other oilseeds.
There are growing ideas that Canadian canola acres could be higher in 2018 than previously expected, which was bearish.
However, gains in U.S. soybeans and soyoil were supportive for the market.
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Slow farmer selling helped prop up prices somewhat.
Around 15,360 canola contracts were traded on Wednesday, which compares with Tuesday when around 15,088 contracts changed hands. Spreading accounted for 10,950 of the contracts traded.
Settlement prices are in Canadian dollars per metric tonne.
Soybean futures on the Chicago Board of Trade ended five to six cents higher on Wednesday as traders covered shorts.
Forecasts calling for hot and dry weather in Argentina were supportive for United States’ soybean futures.
The Philippines purchased 132,000 tonnes of soybeans from the U.S.
The corn market finished four to five cents higher due to weakness in the U.S. dollar and short-covering.
Weekly ethanol production numbers were supportive. Volumes came in at 1.062 million barrel per day which was up from last week’s figure of 1.061 million barrels.
There are ideas farmers in the U.S. will plant less corn acres than last year.
Chicago wheat jumped nine to 11 cents higher in speculative trading.
Traders covered shorts amid weakness in the U.S. dollar.
Algeria and Jordan are reportedly on the hunt for fresh supplies of wheat.
