By Dave Sims, Commodity News Service Canada
WINNIPEG, August 31 – Canola contracts on the ICE Futures Canada platform were lower at 10:53 CDT Monday, following weakness in the US soy complex.
“The bean oil has been swinging quite a bit and canola is following along,” a trader noted.
Malaysian palm oil and European rapeseed futures were also lower which pressured canola.
The long-term technical trend lies to the downside and any selling could build on itself, a report said.
Financial markets are still volatile which dragged down many commodity markets to start the day, analysts reported.
However, the Canadian dollar was lower relative to its US counterpart which made canola more attractive on the international market.
“Canola seems doomed to swing around in a range but has found some support under C$470 towards C$460,” the trader said.
Adverse weather over the weekend in parts of the Prairies was also supportive.
Around 9,000 contracts had traded as of 10:53 CDT, Monday.
Milling wheat, barley and durum were all untraded and unchanged.
Prices in Canadian dollars per metric ton at 10:53 CDT:
