WINNIPEG--ICE Futures Canada canola contracts settled with large declines on Tuesday, seeing some follow-through selling after Monday's turn lower.

Declines in the CBOT soy complex spilled over to weigh on canola, accounting for some of the weakness in the Canadian market.

Speculators were noted sellers, with some sell-stops hit as prices dropped below nearby support, according to participants.

Farmer hedges weighed on prices as well, as producers look to make some sales ahead of spring seeding. Ideas that the highs may be in for the time being contributed to that selling pressure, especially as large old crop supplies continue to overhang the market and early expectations are for an increase in canola acres this year.

On the other side, oversold price sentiment and ideas that canola is still cheap compared to other oilseeds were somewhat supportive.

About 34,401 canola contracts were traded on Tuesday, which compares with Monday when 28,659 contracts changed hands. Spreading was a feature, accounting for 22,732 of the contracts traded.

Milling wheat, durum and barley futures were untraded and unchanged, after seeing some price revisions following Monday's close.

Settlement prices are in Canadian dollars per metric ton.

Price Change

Canola

May 451.20 dn 12.10

Jul 460.60 dn 12.70

Nov 475.40 dn 12.40

Milling Wheat

May 215.00 unch

Jul 213.00 unch

Durum

May 250.00 unch

Jul 250.00 unch

Barley

May 139.00 unch

Jul 140.00 unch

Spread trade prices are in Cdn dollars and the volume represents the number of spreads:

Months Prices Volume

Canola

May/Jul 10.00 under to 9.40 under 5,177

May/Nov 25.00 under to 24.10 under 510

Jul/Nov 15.00 under to 14.50 under 5,351

Jul/Jan 21.40 under to 21.20 under 25

Nov/Jan 6.90 under to 6.50 under 206

Nov/Mar 13.30 under 5

Jan/Mar 6.50 under to 6.00 under 79

Mar/May 6.20 under to 6.10 under 13