Look for November canola to slip below C$600 per tonne by the end of Thanksgiving week.
That's according to Phil Speiss, a trader with RBC Dominion Securities in Winnipeg.
Despite canola adding some gains during the week of Oct. 6, Speiss says there’s little within Canadian oilseed’s fundamentals to keep it going much higher.
Speiss says gains in Chicago soyoil have spilled over to prop up canola, as have increases in other vegetable oils, such as European rapeseed.
He notes wet and dry conditions in different parts of Europe have slowed the planting of rapeseed, which have pushed up that oilseed’s prices.
But on the Prairies, there’s a more pressing issue that’s weighing on canola prices.
He says we’re seeing crushers pushing away trucks, because they can’t get rail cars.
