By Jade Markus, Commodity News Service Canada
WINNIPEG, March 11 – ICE Canada canola contracts were weaker
at midday on Friday, correcting lower after Thursday’s sharp gains.
“They’re just bashing it back and forth. That’s what they do
with canola,” said one Winnipeg-based trader.
On Thursday speculative action had pushed canola stronger than
Chicago Board of Trade (CBOT) soy markets.
“Canola was oversold a little bit on Wednesday, got a little
cheap, and then the traders came in and gave it a goose on Thursday,
and then brought it too high.”
“Now today they’re just correcting it the other way.”
The Canadian dollar was steadily gaining ground against its US
counterpart on Friday, which further pressured canola by making it
less appealing to foreign buyers.
But spillover support from gains in CBOT soy oil and Malaysian
palm oil limited some of canola’s losses.
About 10,369 contracts had traded as of 10:38 CST.
Milling wheat, durum and barley futures were all untraded and
unchanged.
Prices in Canadian dollars per metric tonne at 10:38 CST:
