By Glen Hallick, MarketsFarm

WINNIPEG, Oct. 22 (MarketsFarm) – Intercontinental Exchange (ICE) Futures canola contracts were largely flat on Thursday after showing a fair bit of independent strength recently, according to a Winnipeg-based trader.

“It’s rebalancing. The [Chicago] soy market is strong and canola is going nowhere. It was overdone in that rally,” the trader commented, pegging canola to be C$22 per tonne ahead of the Chicago soy complex.

“The buying of oil meal and the selling of canola is keeping a lid on canola,” he added.

The trader said it remained somewhat possible for canola to see gains before today’s trading session ended.

“Speculative buying is on the long side and certainly not giving up yet,” he stated.

However, the trader said canola supplies are presently ample, and may not become tighter until the spring.

The Canadian dollar remained relatively steady at 76.17 U.S. cents, compared to Wednesday’s close of 76.21.

Approximately 18,200 canola contracts were traded as of 10:58 CDT.

Prices in Canadian dollars per metric tonne at 10:58 CDT:

Price Change
Canola Nov 546.40 dn 2.30
Jan 548.10 dn 0.70
Mar 549.80 dn 0.30
May 546.30 dn 1.30