By Phil Franz-Warkentin, Commodity News Service Canada
WINNIPEG, June 27 (CNS Canada) – Canola contracts on the ICE Futures Canada platform were up sharply at midday Monday, seeing a corrective bounce after last week’s large declines.
Oversold price sentiment, end-user bargain hunting, and spillover support from the rally in the Chicago soy complex all contributed to the firmer tone in canola.
Recent weakness in the Canadian dollar, which dropped sharply on Friday following the British referendum on leaving the European Union, added to Monday’s gains in canola.
However, relatively favourable crop conditions across most of Western Canada remained a bearish influence in the background, according to participants.
About 19,000 canola contracts had traded as of 10:46 CDT.
Milling wheat, durum, and barley futures were all untraded and unchanged.
