By Terryn Shiells, Commodity News Service Canada
December 17, 2013
WINNIPEG – Canola contracts on the ICE Futures Canada platform were firmer at 10:46 CST Tuesday, as the market was seeing a corrective bounce amid oversold price sentiment, analysts said.
Short covering and commercial buying, as canola is looking cheap compared to other oilseeds, added to the bullish tone.
Domestic crushers were also noted buyers, as margins are very favourable for them, brokers added.
Canola futures found further support from the advances seen in Chicago soybean futures and the downswing in the value of the Canadian dollar.
However, Chicago soyoil futures were weaker, which spilled over to weigh on canola.
The large Canadian canola supply situation and logistical issues within Canada’s grain handling system continued to overhang the market.
As of 10:46 CST Tuesday, about 16,235 contracts had traded.
Milling wheat, barley and durum were untraded and unchanged following price revisions after the close on Monday.
Prices in Canadian dollars per metric ton at 10:46 CST:
