By Terryn Shiells, Commodity News Service Canada
Winnipeg, March 5 – Canola contracts on the ICE Futures Canada platform were correcting higher Thursday morning, as Wednesday’s sharp losses were said to be overdone, according to analysts.
Bargain hunting by commercial buyers following Wednesday’s sell-off also contributed to the advances, as did weakness in the Canadian dollar.
Worries that spring road bans will slow the movement of canola in Western Canada and the need to build a weather premium into the market ahead of the 2015/16 growing season were also supportive.
However, some spillover pressure came from the declines seen in Chicago soyoil, Malaysian palm oil and European rapeseed futures. Chicago soybean futures were narrowly mixed.
The large global oilseed supply situation and good conditions for South America’s soybean crop were also bearish.
As of 8:43 CST Thursday, about 3,250 contracts had traded.
Milling wheat, durum and barley futures were untraded following price revisions after Wednesday’s close.
Prices in Canadian dollars per metric ton at 8:43 CST:
