By Dave Sims, Commodity News Service Canada
WINNIPEG, August 26 – ICE Canada canola contracts drifted lower Wednesday morning, taking direction from US soyoil, Malaysian palm oil and European rapeseed futures which were all weaker.
The Canadian dollar was higher relative to its US counterpart which made canola less attractive to domestic crushers and foreign buyers.
There are ideas that canola is slightly overpriced in relation to other commodities, which cast a bearish sentiment over the market.
However, gains in US soybeans helped mitigate the losses while a partial recovery in North American stock markets also supported the market.
Read Also
North American grain/oilseed review: Canola up with speculative positioning to end week
Glacier FarmMedia — The ICE Futures canola market was stronger on Friday, as chart-based positioning ahead of the weekend provided…
Canola is well off Monday’s lows indicating it has found chart support, an analyst said.
Recent wet and cold weather across the Prairies also helped to stabilize canola prices.
About 2,800 canola contracts had traded as of 8:35 CDT.
Milling wheat, durum, and barley futures were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 8:35 CDT:
Price Change
Canola Nov 476.00 dn 1.40
Jan 478.50 dn 2.20
Mar 480.40 dn 1.80
Milling Wheat Oct 223.00 unch
Dec 223.00 unch
Durum Oct 335.00 unch
Dec 335.00 unch
Barley Oct 200.60 unch
Dec 200.60 unch
