March 18, 2016
Canola had a rough February as concerns from China, a stronger loonie and the start of a South American harvest pressured futures to a steady decline. The beginning of March saw canola bottom at $440/MT on July futures, and has since climbed a shade over 80 cents/bu in 2 weeks. Watch for price movement to become more choppy if canola continues to surge higher as it enters the sideways range it was in from September through February. Near term pricing opportunities for March-April can be seen between $470-480/MT on May futures. Individual marketing needs will dictate how aggressive targets can be pushed, if June-July is the window look for opportunities between $490-500/MT.