By Terryn Shiells, Commodity News Service Canada
WINNIPEG, March 31 – Canola contracts on the ICE Futures Canada platform were weaker at 10:20 CDT Monday amid quiet, lackluster activity. Traders were being cautious ahead of the release of the USDA’s planting intentions and stocks report, due out at 11:00 CDT.
Strength in the value of the Canadian dollar and follow-through selling on Friday’s softer close helped to weigh on the market, as did the large Canadian canola supply situation.
Spillover pressure from the weakness seen in Chicago soyoil futures added to the bearish tone, as did renewed concerns about slow movement of canola in Western Canada. The concerns came along with the return of cold temperatures across the Prairies, brokers said.
However, steady demand and continued ideas that canola is undervalued compared to other oilseeds limited the downside.
As of 10:20 CDT Monday, about 4,000 contracts had traded. Spreading was a feature of the activity.
Milling wheat, barley and durum were untraded following price revisions after the close on Friday.
Prices in Canadian dollars per metric ton at 10:20 CDT:
