By Terryn Shiells, Commodity News Service Canada
Winnipeg, April 24 – Canola contracts on the ICE Futures Canada platform were stronger Thursday morning, reacting to a supportive Statistics Canada reported which pegged lower than expected acreage for the 2014/15 (Aug/Jul) canola crop.
According to Statistics Canada, Canadian farmers intended to plant 19.80 million acres of canola this spring as of March 31, 2014, falling below expectations of 20 to 22 million acres. In 2013, 19.94 million acres of canola were seeded by Canadian farmers.
Continued ideas that canola is undervalued compared to other oilseeds and talk that recent losses in the market were overdone added to the bullish tone.
However, spillover pressure from the declines seen in Chicago soyoil futures limited the advances, as did a recent pickup in farmer selling.
Expectations of large 2013/14 Canadian carryout stocks for canola continued to overhang the market.
As of 8:43 CDT Thursday, about 4,800 contracts had traded.
Milling wheat, durum and barley futures were untraded following price revisions after the close on Wednesday.
Prices in Canadian dollars per metric ton at 8:43 CDT:
